Question: QUESTION 3 Suppose that you build a simple linear regression model to predict home heating bills (in dollars) based on home size (in square feet).

QUESTION 3 Suppose that you build a simple linear regression model to predict home heating bills (in dollars) based on home size (in square feet). The correlation between heating bills and home size is 0.80. What is the correct interpretation of this finding? 80% of the variability in heating bills can be explained by home size. For each additional square foot of home size, heating bills increase by 64 cents For each additional square foot of home size, heating bills increase by 80 cents 64% of the variability in heating bills can be explained by home size
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