Question: Show that Total variation SST Explained variation SSR

Show that Total variation (SST) = Explained variation (SSR) + Unexplained variation (SSE).
Benton University is planning to construct a new sports complex for use by its students. Beyond the cost of construction, support costs for things like staffing, heating, and general maintenance are of concern. As project manager, you are trying to identify a simple linear relationship that can be used to estimate the annual total of these costs. Below is a table showing support cost and floor area for some similar sports complexes in the region. You job is to use the data to see if you can establish a useful linear relationship between floor area and total annual support cost.

  • CreatedJuly 16, 2015
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