THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION:
A sales manager is interested in determining the relationship between the amount spent on advertising and total sales.The manager collects data for the past 24 months and runs a regression of sales on advertising expenditures.The results are presented below but,unfortunately,some values identified by asterisks are missing.
SUMMARY OUTPUT
-In a regression problem,a coefficient of determination 0.90 indicates that:
A)90% of the y values are positive.
B)90% of the variation in y can be explained by the regression line.
C)90% of the x values are equal.
D)90% of the variation in x can be explained by the regression line.

Question

THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION:
A sales manager is interested in determining the relationship between the amount spent on advertising and total sales.The manager collects data for the past 24 months and runs a regression of sales on advertising expenditures.The results are presented below but,unfortunately,some values identified by asterisks are missing.
SUMMARY OUTPUT 
-In a regression problem,a coefficient of determination 0.90 indicates that:
A)90% of the y values are positive. 
B)90% of the variation in y can be explained by the regression line. 
C)90% of the x values are equal. 
D)90% of the variation in x can be explained by the regression line.

Quizplus · Accepted Answer

A coefficient of determination (R-squared) of 0.90 means that 90% of the variation in the dependent variable (y) can be explained by the independent variable(s) in the regression model.