An Real Estate Analyst Believes That the Three Main Factors

Multiple Choice

An real estate analyst believes that the three main factors that influence an apartment's rent in a college town are the number of bedrooms,the number of bathrooms,and the apartment's square footage.For 40 apartments,she collects data on the rent (y,in $) ,the number of bedrooms (x₁) ,the number of bathrooms (x₂) ,and its square footage (x₃) .She estimates the following model as Rent = β₀ + β₁ Bedroom + β₂ Bath + β₃ Sqft + ε.The following ANOVA table shows a portion of the regression results. The coefficient of determination indicates that __________.

A) 19.08% of the variation in Rent is explained by the variation in the explanatory variables
B) 19.08% of the variation in the explanatory variables is explained by the variation in Rent
C) 80.92% of the variation in Rent is explained by the variation in the explanatory variables
D) 80.92% of the variation in the explanatory variables is explained by the variation in Rent