TABLE 13-2
A candy bar manufacturer is interested in trying to estimate how sales are influenced by the price of their product. To do this, the company randomly chooses 6 small cities and offers the candy bar at different prices. Using candy bar sales as the dependent variable, the company will conduct a simple linear regression on the data below:
-Referring to Table 13-2, what is the coefficient of correlation for these data?
A) -0.8854
B) -0.7839
C) 0.7839
D) 0.8854

Question

TABLE 13-2
A candy bar manufacturer is interested in trying to estimate how sales are influenced by the price of their product. To do this, the company randomly chooses 6 small cities and offers the candy bar at different prices. Using candy bar sales as the dependent variable, the company will conduct a simple linear regression on the data below: 
-Referring to Table 13-2, what is the coefficient of correlation for these data?
A) -0.8854 
B) -0.7839 
C) 0.7839 
D) 0.8854

Quizplus · Accepted Answer

The coefficient of correlation is a measure of the strength and direction of a linear relationship between two variables. A negative value indicates an inverse relationship.

TABLE 13-2 A Candy Bar Manufacturer Is Interested in Trying to Estimate