There are two independent variables X1 and X2 amp; one dependent variable Y R-squared represents the percentage of data points that fit the...
| There are two independent variables X1 and X2 & one dependent variable Y |
| R-squared represents the percentage of data points that fit the regression model; from the output 95.803% of the data point fit the model |
| However, since there are two independent variables the adjusted R-square should be used to assess the effectiveness of the regression model to fit the data point; hence, 95.79% of data points fit the model |
| Significance F this figure demonstrates the probability that the regression happened by chance; Since Significance of F is 0% then the chance that the regression happened by chance is void |
| The regression and residual sum of square errors are added together allowing the researcher to obtain the total sum of square; After which the residual sum of squares is divided by total sum of squares, the solution can be subtracted from 1 to obtain the R squared Total SS=Residual SS+ Regression SS R^2=1-Residual SS/Total SS |
| The coefficient for x1,x2, and y-intercept are indicated; hence Y=59.28310-28.4552X1+2.571423X2 |
| The t statistic of the hypothesis for each of the coefficient is indicated below the t stat column |
| The P-value provides information on whether or not to reject the null hypothesis that adjusted coefficient are equal to zero; from the above output it is clear that null hypothesis should be reject since P-value<alpha |
Assessment of the Regression Output