For a simple linear regression model the sum of squares of the residuals is

[[math]] \sum_{i=1}^{25}e_i^2 = 230 [[/math]]

and the [math]R^2[/math] statistic is 0.64.

Calculate the total sum of squares (TSS) for this model.

• 605.94
• 638.89
• 690.77
• 701.59
• 750.87

Copyright 2023. The Society of Actuaries, Schaumburg, Illinois. Reproduced with permission.

Key: B

TSS= (Residual Sum of Squares) / (1 − R²) = 230 / (1 − 0.64) = 638.89

Copyright 2023. The Society of Actuaries, Schaumburg, Illinois. Reproduced with permission.