What Is the Correct Interpretation of the Coefficient of Determination

question 49

Multiple Choice

What is the correct interpretation of the coefficient of determination R²?

• A)The sales price equals 53% of these three variables.
• B)47% of the variation in sales prices can be determined by the variation in these three variables.
• C)The sales price equals 47% of these three variables.
• D)The probability that the sample values will lie on the regression line is 0.47.

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