A manager uses regression to express sales as a function of advertising expenditures (X1), and per capita income (X2) in your sales area. The following multiple linear regression equation is developed:

Y = 10 + .51X1 + .45X2

The coefficient of determination is .96

This coefficient of determination explains that:

A) 96% of sales variations are explained by the equation

B) The dependent variable is not related to advertising expenditures and per capita income

C) 96% of sales variations are due to an error term

D) Only 4% of the sales variations are explained by advertising expenditures and per capita income