A sample of 33 companies was randomly selected and data coll

A sample of 33 companies was randomly selected and data collected on the average annual bonus, turnover rate (%), and trust index (measured on a scale of 0-100). Based on the output, how much of the variability in Turnover Rate is explained by the estimated multiple regression model?

Solution

R-square gives the variability in the dependent variable Y explained by the estimated multiple regression model. Here R-square is 79.6%. So 79.6% variablity in Turnover Rate is explained by the estimated multiple regression model. Hence, third option is correct.