The Variables Circulation $\left(x_{1}\right)$ And Advertising Income $\left(x_{2}\right)$ Are Used to Predict the Annual Profit of a Daily

Essay

The variables circulation $\left(x_{1}\right)$ and advertising income $\left(x_{2}\right)$ are used to predict the annual profit of a daily newspaper ( $y$ ). A multiple correlation coefficient of 0.65 is obtained. For predicting annual profit on the basis of advertising income alone, a value of $r=0.78$ is found. Comment on these results.