Perfectly __________correlated series move exactly together and have a correlation coefficient of__________, while perfectly __________correlated series move exactly in opposite directions and have acorrelation coefficient of__________ .
A) negatively; -1; positively; +1
B) positively; +1; negatively; -1
C) negatively; +1; positively; -1
D) positively; -1; negatively; +1

Question

Quizplus · Accepted Answer

The statement correctly identifies the correlation coefficients for perfectly correlated series. The first blank should be "positively" because perfectly correlated series move in the same direction. Therefore, the only option that fits this description is B.

Perfectly __________Correlated Series Move Exactly Together and Have a Correlation