DA0-002 Data Analysis Practice Question
In a regression analysis, the coefficient of determination (R²) is 0.85. How should this value be interpreted?
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
✓
85% of the variance in the dependent variable is explained by the model
R² represents the proportion of variance in the dependent variable that is explained by the independent variable(s). An R² of 0.85 means the model explains 85% of the variability.
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 data points lie on the regression line
Why it's wrong here
R² does not indicate the percentage of points on the line.
- ✗
The slope of the regression line is 0.85
Why it's wrong here
R² is not the slope.
- ✓
85% of the variance in the dependent variable is explained by the model
Why this is correct
Correct interpretation of R².
- ✗
85% of the independent variables are significant
Why it's wrong here
R² does not measure significance.
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