Which of the following statements is true about the coefficient of determination (R²)?
A)The higher the value of R²,the more confidence we have that the estimate is accurate.
B)The lower the value of R²,the more confidence we have that the estimate is accurate.
C)The value of R² has no significance on the accuracy of the estimate.
D)The estimate is accurate when R² = 0.

Question

Quizplus · Accepted Answer

The coefficient of determination (R²) measures the proportion of the variation in the dependent variable that is explained by the independent variable(s). The higher the value of R² (closer to 1), the stronger the relationship between the variables, and the more confidence we have that the estimate is accurate. Therefore, option A is the correct choice. Option B is incorrect because the lower the value of R², the weaker the relationship between the variables, and the less confidence we have in our estimate. Option C is incorrect because R² indicates the quality of the estimate. Option D is incorrect because an R² of 0 indicates that the independent variable(s) do not explain any of the variation in the dependent variable.

Which of the Following Statements Is True About the Coefficient