How do you interpret a coefficient of determination, , equal to 0.19? Choose the

Question

How do you interpret a coefficient of determination, , equal to 0.19? Choose the correct answer below. O A. B. C O D. The interpretation is that 81% of the variation in the independent variable can be explained by the variation in the dependent variable. The interpretation is that 19% of the variation in the dependent variable can be explained by the variation in the independent variable. The interpretation is that 0.19% of the variation in the independent variable can be explained by the variation in the dependent variable The interpretation is that 0.81% of the variation in the dependent variable can be explained by the variation in the independent variable.

Explanation / Answer

From Excel

a) Coeffiicint of variation =0.81

81% of the variationin the depepndent variable can be explained by the variation in the independent varaiable

SUMMARY OUTPUT Regression Statistics Multiple R 0.898793 R Square 0.807829 Adjusted R Square 0.775801 Standard Error 196.4289 Observations 8

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