Question: the correlation coefficient R between the employees age, X, in yearly salary, Y, is 0.923. What percent of the variation in yearly salaries can be explained by the difference in the employee's age?

What we need is the coeeficient of the coefficient of determination of the linear regression R^2
[tex]R^2=\text{ }r^2\times100[/tex]=0.923² x 100%
= 85.1929%
≈ 85.2%
Therefore, 85.2% of the variation of the early salaries is explained by the difference in the emplyee's age.