Exhibit 14-1
A regression analysis resulted in the following information regarding a dependent variable (y) and an independent variable (x).
-Refer to Exhibit 14-1. The coefficient of determination equals
A)0
B)-1
C)+1
D)-0.5

Question

Exhibit 14-1
A regression analysis resulted in the following information regarding a dependent variable (y) and an independent variable (x). 
-Refer to Exhibit 14-1. The coefficient of determination equals
A)0 
B)-1 
C)+1 
D)-0.5

Quizplus · Accepted Answer

The coefficient of determination (R-squared) measures the proportion of the variation in the dependent variable that is explained by the independent variable(s). It is a value between 0 and 1. A coefficient of determination of 0 indicates that the independent variable(s) are not able to explain any of the variation in the dependent variable; a coefficient of determination of 1 indicates that the independent variable(s) perfectly explain all of the variation in the dependent variable. Therefore, the only possible choice is C, which indicates a coefficient of determination of +1, meaning that the independent variable perfectly explains all of the variation in the dependent variable.

Exhibit 14-1 a Regression Analysis Resulted in the Following Information Regarding a Regarding