The following observations are given for two variables.Daily demand (y)Unit price (x) 18.00 3.00 20.00 5.00 22.00 11.00 24.00 12.00Average21.007.75Standard deviation2.584.43 Correlation coefficient is
Question
The following observations are given for two variables.Daily demand (y)Unit price (x) 18.00 3.00 20.00 5.00 22.00 11.00 24.00 12.00Average21.007.75Standard deviation2.584.43 Correlation coefficient is
Solution
The correlation coefficient can be calculated using the formula:
r = Σ[(xi - x̄)(yi - ȳ)] / [(n-1) * σx * σy]
Where: xi and yi are the individual sample points indexed with i x̄ is the mean of the x values ȳ is the mean of the y values σx is the standard deviation of x σy is the standard deviation of y n is the number of data points
However, in this case, the correlation coefficient is not given and cannot be calculated without the individual data points. The formula requires the sum of the products of the differences of each data point and the mean, which cannot be calculated with only the means and standard deviations.
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