What do we know about the fit of the regression?

Operations Research : Applications and Algorithms
4th Edition
ISBN:9780534380588
Author:Wayne L. Winston
Publisher:Wayne L. Winston
Chapter11: Nonlinear Programming
Section11.1: Review Of Differential Calculus
Problem 8P
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For 1990, let dkr be a firm’s debt to capital ratio, let eps denote earnings per share, let netinc denote net income in millions USD, and let salary denote total compensation for the CEO in thousands USD.

The following equation was estimated:

return= -14.37+0.321 dkr + 0.043 eps -0.0051 nentinc + 0.0035 * salary

              (6.89)  (0.201)        (0.078)      (0.0047)              (0.0022)

n=142, adj. R-squared=0.0395

 

What do we know about the fit of the regression?

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