R Squared SSR

CFA Level II Quant
#1

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Which of the following statements best describes the explanatory power of the estimated regression?
Answer - The independent variables explain 61.58% of the variation in housing starts.

Explanation : The coefficient of determination is the statistic used to identify explanatory power. This can be calculated from the ANOVA table as 3.896/6.327 × 100 = 61.58%.

Now my doubt is R squared is SSR/SST. SSR Stands for Sum of Squared Residuals or Regression? I thought it’s residuals. Thank you.

#2

SSR is for Regression
SSE is for Error term (residual)
TSS or SST is for Total or Summation of (ssr + SSE )

I hope it helps.

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#3

These terminologies in Quants are tough to memorize. Giving my exam on 26th May. I really don’t know what to do.