Final answer:
The coefficient of determination is 0.746, indicating that 74.6% of the variation can be explained by the regression line. The remaining 25.4% of the variation is unexplained and due to other factors or sampling error.
Step-by-step explanation:
To calculate the coefficient of determination based on the linear correlation coefficient r, you square the value of r. In this case, with r=0.864, the coefficient of determination is r² = 0.864² = 0.746496. When rounded to three decimal places, this becomes 0.746.
The coefficient of determination tells us the proportion of variance in the dependent variable that can be explained by the independent variable using the regression model. Therefore, the explained variation of the data about the regression line is 74.6% of the total variation in the dependent variable. This implies that the regression line explains a substantial amount of the variation in the data.
The percentage of the variation explained by the regression line is 74.6% when you multiply the coefficient of determination by 100. To find the unexplained variation, you subtract the coefficient of determination from 1. Hence, 1 - r² = 1 - 0.746 = 0.254, or 25.4% when expressed as a percentage. This percentage represents the variation in the dependent variable that cannot be explained by the independent variable and is presumably due to other factors or to sampling error.