Learning Guide Module

Subject Code: Statistics 1

Module Code 11: Linear Regression – Part 2
Lesson Code: 11.2 - Sample Coefficient of Determination, part 2 (r2)
Time Frame: 30 minutes

TARGET
After completing this lesson, the student is expected to:
▪ Compute r2using technology (Excel); and
▪ Interpret the meaning of r2 in regression analysis.

HOOK
How did you find computing r2 manually? It is quite challenging, right? Do not despair because
no matter how long and winding the road is, if we just continue the journey without faltering, we could
reach our destination.

IGNITE

Now, let’s make this journey a little bit faster by using technology (Excel) in computing the value of the
coefficient of determination (r2). Let us follow the steps enumerated below:

Example 1. Use the data set given in Example 1 in Lesson 11.1. Let us follow the enumerated steps
below in computing r2 using Microsoft Excel.

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1.) Enter the given data set (from Example 1 of Lesson 11.1) in Excel. All values for variable X
should be typed or encoded in one column say, column A, then beside this column, say column B,
corresponding values of variable Y should be entered.

2.) After entering the data, click Data toolbar, then Data Analysis, then correlation, then [ok].

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3.) On the input range of the Correlation toolbox, input all entries from column A to column by
highlighting the entries. Click columns for grouped by, check labels in first row (since X and Y
are your data labels) and in the output range, enter any part of the sheet (other than those with
entries) by highlighting that part (in this example, D3 to F6 were highlighted). After clicking the
necessary quantities, click [ok].

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 4.) Your output would look like the one below.

As you can see in the output presented in Step 3, we got tabulated values with 2 columns and 2
rows. Notice that the value of the intersection between column E and row 4 is 1. This is also true
for column F and row 5. The intersection between X and Y is the value of the Pearson
Correlation Coefficient (r). Notice that we got equivalent value (rounded) when we computed for
r manually. Here r = 0.9247 (rounded), thus r2 = 0.85 or 85% (approx.), which shall be interpreted
similarly when we computed it manually.

Example 2. Shown below is the power (nearest Kilowatt) and top speeds (nearest km/hr) of a sample of
10 cars randomly selected for a racing contest. Use Microsoft Excel to determine the value of r2 and
interpret it.
Power (X) 70 63 72 60 66 74 65
Top Speed (Y) 155 150 180 135 156 178 160
2
(Answers: r = 0.8179 or 81.79%; Hence, 81.79% of the variation in top speed of these cars is explained
by the power. The remaining 18.21% maybe attributed to other factors and may not be explained through
a linear model.)

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 NAVIGATE
Let us now apply what we have learned by doing the given exercises below. Your
answers should be posted in the discussion forum of our Moodle Class.(Note for the teacher:
this should be included in the formative assessment) *Graded

Exercise 1. A social researcher wanted to determine whether the number of children in the family is
somehow related to the age of the mother when she married. Nine housewives were interviewed and the
results are shown below:
Age when married, (X) 21 15 22 22 21 25 30 18 24
No. of children, (Y) 4 8 3 4 2 3 1 5 6

Do a regression analysis of the given data. Each answer should be supported with Excel outputs. In your
analysis, please be guided by the following questions:
(a) What is the value of the Pearson Correlation Coefficient, r?
(b) How do you describe the relationship between advertising cost thru the value of r you computed?
(c) What is the value of the coefficient of determination, r2 ?
(d) Interpret the value of r2 in relation to the variables involved age upon marriage and no. of
children.

KNOT
KNOT
The sample coefficient of determination (r2) is a measure that will tell us how much of
the total variation in the response variable (Y) is explained by the linear relationship with the
values of the explanatory variable (X). To compute for the value of r2, we need to compute first
the value of the Pearson Correlation Coefficient (r) which can be done manually or using Excel.
The Pearson r will tell us if there is linear relationship (positive or negative) or no linear
relationship at all. This further implies that r2 is a validation of the result of the computed
Pearson r and the equation of the line obtained using regression analysis.

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REFERENCES:
1. Albarico, J.M. (2013). THINK Framework. Based on Ramos, E.G. and N. Apolinario.
(n.d.)Science LINKS. Quezon City: Rex Bookstore Inc
2. Albacea, Z.V.J., Abitona, L.P.D., Collado, R.V., …, Ynion, J.C. (2012). Workbook in
Statistics 1. 9th Edition. Institute of Statistics, UP Los Banos College, Laguna,
Philippines.
3. Bluman, A.J. (2014). Elementary Statistics: A Step by Step Approach. 9th Ed. McGraw-
Hill Education. New York.
4. Moore, D.S. (2010). The Basic Practice of Statistics. 5th Edition. W.H. Freeman and
Company. New York
5. https://www.khanacademy.org/math/statistics-probability/describing-relationships-
quantitative-data#scatterplots-and-correlation

Prepared by: Arlene Cahoy– Agosto Reviewed by: Myrna B. Libutaque

Position SST Position: SST
Campus CVisC Campus: WVC

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