In a regression equation where Y is demand and X is advertising,a coefficient of determination ( )of .70 means that 70% of the variance in advertising is explained by demand.

Question

In a regression equation where Y is demand and X is advertising,a coefficient of determination (  )of .70 means that 70% of the variance in advertising is explained by demand.

Quizplus · Accepted Answer

The coefficient of determination, also known as R-squared, measures the proportion of variation in the dependent variable (Y) that is explained by the independent variable (X). Therefore, in this scenario, a coefficient of determination of .70 means that 70% of the variance in demand is explained by advertising, not the other way around.

In a Regression Equation Where Y Is Demand and X