09. Correlation Coefficient Quizzes

Which of the below are true statements regarding the correlation coefficient?
SOLUTION:
  • The correlation coefficient must be between 1 and -1 (inclusively).
  • The correlation coefficient (specifically Pearson's correlation) is for measuring linear relationships.

A scatter plot and a correlation coefficient give the same information, so if we have this number, we don't really need a visual anymore.
SOLUTION: False

Use data associated with Temp and Sales to find the correlation coefficient. A link to the data is provided here, where you can use the CORREL function.

What is the value of the correlation coefficient?
SOLUTION: 0.96

The correlation coefficient suggests which of the below are true about the relationship between Temp and Sales. Choose all of the below that are true.
SOLUTION:
  • The relationship between Temp and Sales is positive.
  • The relationship between Temp and Sales is strong.
  • The relationship between Temp and Sales is Linear

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