Regression model uses least square model to fit the equation for independent and dependent variables.
Link for Equation Derivation - https://www.youtube.com/watch?v=DSQ2plMtbLc
It also calculate P value for each variable (Independent) which will be used to check if the independent variable has any impact on the output.
Regression equation can be used to test the hypothesis as well, Hypothesis will be usually the impact of X variable on Y variable.
One very good example has been discussed in below link -
https://www.coursera.org/lecture/linear-regression-business-statistics/hypothesis-testing-in-a-linear-regression-gqxpq
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