DA0-002 Data Analysis Practice Question
An analyst is performing a linear regression and obtains an R-squared value of 0.85. Which of the following is the best interpretation?
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
The model explains 85% of the variability in the dependent variable.
R-squared indicates the proportion of variance in the dependent variable explained by the independent variable(s). 0.85 means 85% explained.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
85% of the residuals are zero.
Why it's wrong here
R-squared does not indicate residual zero count.
- ✗
85% of the data points lie on the regression line.
Why it's wrong here
R-squared is not about points on the line.
- ✗
There is an 85% chance that the relationship is causal.
Why it's wrong here
R-squared does not imply causation.
- ✓
The model explains 85% of the variability in the dependent variable.
Why this is correct
This is the correct interpretation of R-squared.
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