A real estate magazine reported the results of a regression analysis designed to predict the price (y), measured in dollars, of residential properties recently sold in a northern Virginia subdivision. One independent variable used to predict sale price is GLA, gross living area (x), measured in square feet. Data for 157 properties were used to fit the model, E(y) = + x. The results of the simple linear regression are provided below.
A) 77% of the total variation in the sample sale prices can be attributed to the linear relationship between GLA (x) and (y).
B) There is a moderately strong positive correlation between sale price (y) and GLA (x).
C) 77% of the observed sale prices (y's) will fall within 2 standard deviations of the least squares line.
D) GLA (x) is linearly related to sale price (y) 77% of the time.

Question

A real estate magazine reported the results of a regression analysis designed to predict the price (y), measured in dollars, of residential properties recently sold in a northern Virginia subdivision. One independent variable used to predict sale price is GLA, gross living area (x), measured in square feet. Data for 157 properties were used to fit the model, E(y) =  +  x. The results of the simple linear regression are provided below. 
A) 77% of the total variation in the sample sale prices can be attributed to the linear relationship between GLA (x) and (y). 
B) There is a moderately strong positive correlation between sale price (y) and GLA (x). 
C) 77% of the observed sale prices (y's) will fall within 2 standard deviations of the least squares line. 
D) GLA (x) is linearly related to sale price (y) 77% of the time.

Quizplus · Accepted Answer

The Answer of A real estate magazine reported the results of a regression analysis designed to predict the price (y), measured in dollars, of residential properties recently sold in a northern Virginia subdivision. One independent variable used to predict sale price is GLA, gross living area (x), measured in square feet. Data for 157 properties were used to fit the model, E(y) =  +  x. The results of the simple linear regression are provided below. 
A) 77% of the total variation in the sample sale prices can be attributed to the linear relationship between GLA (x) and (y). 
B) There is a moderately strong positive correlation between sale price (y) and GLA (x). 
C) 77% of the observed sale prices (y's) will fall within 2 standard deviations of the least squares line. 
D) GLA (x) is linearly related to sale price (y) 77% of the time.

A Real Estate Magazine Reported the Results of a Regression