Each year a nationally recognized publication conducts its "Survey of America's Best Graduate and Professional Schools." An academic advisor wants to predict the typical starting salary of a graduate at a top business school using GMAT score of the school as a predictor variable. A simple linear regression of SALARY versus GMAT using 25 data points is shown below. bo = - 92,040 b, = 228 s = 3213 R = 0.66 r= 0.81 df 23 t 6.67 Give a practical interpretation of R² = 0.66. O A. The value of R2 indicates that 66% of the sample variation in SALARY can be explained by using GMAT in a straight-line model. O B. The value of R2 indicates that SALARY can be predicted correctly 66% of the time using GMAT in a straight-line model. O C. The value of R2 indicates that 66% of the differences in SALARY are caused by differences in GMAT scores. O D. The value of R2 indicates that SALARY is estimated to increase $0.66 for every 1-point increase in GMAT.

MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
icon
Related questions
Question
100%
Each year a nationally recognized publication conducts its "Survey of America's Best Graduate and Professional Schools." An academic advisor wants to predict the
typical starting salary of a graduate at a top business school using GMAT score of the school as a predictor variable. A simple linear regression of SALARY versus
GMAT using 25 data points is shown below.
bo = - 92,040 b, = 228 s = 3213 R2 = 0.66
r= 0.81
df = 23 t= 6.67
Give a practical interpretation of R2 = 0.66.
O A. The value of R2 indicates that 66% of the sample variation in SALARY can be explained by using GMAT in a straight-line model.
B. The value of R2 indicates that SALARY can be predicted correctly 66% of the time using GMAT in a straight-line model.
O C. The value of R2 indicates that 66% of the differences in SALARY are caused by differences in GMAT scores.
O D. The value of R2 indicates that SALARY is estimated to increase $0.66 for every 1-point increase in GMAT.
Transcribed Image Text:Each year a nationally recognized publication conducts its "Survey of America's Best Graduate and Professional Schools." An academic advisor wants to predict the typical starting salary of a graduate at a top business school using GMAT score of the school as a predictor variable. A simple linear regression of SALARY versus GMAT using 25 data points is shown below. bo = - 92,040 b, = 228 s = 3213 R2 = 0.66 r= 0.81 df = 23 t= 6.67 Give a practical interpretation of R2 = 0.66. O A. The value of R2 indicates that 66% of the sample variation in SALARY can be explained by using GMAT in a straight-line model. B. The value of R2 indicates that SALARY can be predicted correctly 66% of the time using GMAT in a straight-line model. O C. The value of R2 indicates that 66% of the differences in SALARY are caused by differences in GMAT scores. O D. The value of R2 indicates that SALARY is estimated to increase $0.66 for every 1-point increase in GMAT.
Expert Solution
Step 1

Given 

predictor variable = GMAT Score 

Response variable = Starting salary 

n = 25 points 

 

 

trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Charts and Graphs for Data Visualization
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, statistics and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
MATLAB: An Introduction with Applications
MATLAB: An Introduction with Applications
Statistics
ISBN:
9781119256830
Author:
Amos Gilat
Publisher:
John Wiley & Sons Inc
Probability and Statistics for Engineering and th…
Probability and Statistics for Engineering and th…
Statistics
ISBN:
9781305251809
Author:
Jay L. Devore
Publisher:
Cengage Learning
Statistics for The Behavioral Sciences (MindTap C…
Statistics for The Behavioral Sciences (MindTap C…
Statistics
ISBN:
9781305504912
Author:
Frederick J Gravetter, Larry B. Wallnau
Publisher:
Cengage Learning
Elementary Statistics: Picturing the World (7th E…
Elementary Statistics: Picturing the World (7th E…
Statistics
ISBN:
9780134683416
Author:
Ron Larson, Betsy Farber
Publisher:
PEARSON
The Basic Practice of Statistics
The Basic Practice of Statistics
Statistics
ISBN:
9781319042578
Author:
David S. Moore, William I. Notz, Michael A. Fligner
Publisher:
W. H. Freeman
Introduction to the Practice of Statistics
Introduction to the Practice of Statistics
Statistics
ISBN:
9781319013387
Author:
David S. Moore, George P. McCabe, Bruce A. Craig
Publisher:
W. H. Freeman