# What does an R-Squared value indicate about a linear regression?

##### 1 Answer

Nov 1, 2015

It indicates to what extent, the independent variable explains the dependent variable.

#### Explanation:

Suppose your dependent variable

Now we shall have it like this.

In regression we collect data relating to

We want to know how far the variation in

We calculate

Our conclusion is that 74% variation in

It goes without saying the rest 26% change in