In a regression equation where Y is demand and X is advertising, a coefficient of determination ( $\mathcal { R } ^ { 2 }$ ) of .70 means that 70% of the variance in advertising is explained by demand.

Question

Quizplus · Accepted Answer

A coefficient of determination ($R^2$) of .70 means that 70% of the variance in demand (Y) is explained by advertising (X), not the other way around.

In a Regression Equation Where Y Is Demand and X R2\mathcal { R } ^ { 2 }R2

In a Regression Equation Where Y Is Demand and X $\mathcal { R } ^ { 2 }$