a-marketing-analyst-finds-an-r-squared-value-of-015-for-a-model-predicting-sales

Question

A marketing analyst finds an R squared value of 0.15 for a model predicting sales from advertising spend. What is the most reasonable conclusion?

Accepted Answer

Advertising spend explains only a small portion of the variation in sales; other factors are likely important.

Answer

Advertising spend is the primary driver of sales.

Answer

There is a strong linear relationship between advertising spend and sales.

Answer

The model fits the data very well.