402,040 views
20 votes
20 votes
Question: the correlation coefficient R between the employees age, X, in yearly salary, Y, is 0.923. What percent of the variation in yearly salaries can be explained by the difference in the employee's age?

Question: the correlation coefficient R between the employees age, X, in yearly salary-example-1
User Kannan T
by
2.9k points

1 Answer

17 votes
17 votes

What we need is the coeeficient of the coefficient of determination of the linear regression R^2


R^2=\text{ }r^2*100

=0.923² x 100%

= 85.1929%

≈ 85.2%

Therefore, 85.2% of the variation of the early salaries is explained by the difference in the emplyee's age.

User Disbeliever
by
2.7k points