The correlation between a respondent’s annual income and his or her monthly expenditure is r = 0.55. Which of the following statements is true?
A.
55% of the variance in monthly expenditure can be explained by the respondents’ annual income
B.
30% of the variance in monthly expenditure can be explained by the respondents’ annual income
C.
55% of the variance annual income can be explained by respondents’ monthly expenditure
D.
30% of the variance annual income can be explained by respondents’ monthly expenditure
A.
55% of the variance in monthly expenditure can be explained by the respondents’ annual income