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An Academic Advisor Wants to Predict the Typical Starting Salary β^0=92040β^1=228s=3213r2=.66r=.81df=23t=6.67\hat { \beta } _ { 0 } = - 92040 \hat { \beta } 1 = 228 s = 3213 r ^ { 2 } = .66 r = .81 \mathrm { df } = 23 \quad t = 6.67

question 45

Multiple Choice

An academic advisor wants to predict the typical starting salary of a graduate at a top business school using the GMAT score of the school as a predictor variable. A simple linear regression of
SALARY versus GMAT using 25 data points is shown below. β^0=92040β^1=228s=3213r2=.66r=.81df=23t=6.67\hat { \beta } _ { 0 } = - 92040 \hat { \beta } 1 = 228 s = 3213 r ^ { 2 } = .66 r = .81 \mathrm { df } = 23 \quad t = 6.67
Give a practical interpretation of r=.81r = .81 .

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