Stats_Material33

# Stats_Material33 - Please show all work Include formulas...

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Correlation Years( X)  Salary in Thou ( Y) X^2 Y^2 X*Y Count= 1 220 1 48400 220 12 11 180 121 32400 1980 4 190 16 36100 760 8 180 64 32400 1440 18 150 324 22500 2700 12 145 144 21025 1740 6 250 36 62500 1500 15 160 225 25600 2400 18 130 324 16900 2340 5 185 25 34225 925 6 180 36 32400 1080 5 165 25 27225 825 0 0 0 109 2135 1341 391675 17910 Totals r( X,Y) = r( X,Y) = Co v ( X, Y ) = 1 /12 (17910) - [ 1/12 *109 ] [ 1/12 *2135] = -123.576 S. D ( X ) = Sqrt( 1/12*1341-(1/12*109)^2) 5.408 S .D (Y) = Sqrt( 1/12*391675-(1/12*2135)^2) 31.389 r(x,y) = -123.576 / 5.408*31.389 = -0.728 Co V ( X,Y) / S.D (X) * S.D (y) Sum(XY) / N- Mean of (X) * Mean of (Y) / Sqrt( X^2/n - ( Mean of X)^2 ) Sqrt( Y^2/n - ( Mean of Y)^2 ) If r = 0 > -0.728 Corrlation is called Strong Negative Corrlelation Please show all work. Include formulas, calculations, or definitions necessary to solve the problems. I recommend that you use Excel. You may also use Word, but must attach the Excel workbook used for calculations or paste the work in the document. Feel free to ask me questions in a Private Message before the due date. A consulting firm used a random sample of 12 CFOs (Chief Financial Officers) of large businesses to examine the relationship (if any) between salary and years of service in the firm. a. Make a scatter plot and describe it. What general trends, if any, do you notice in the data? b. Calculate a correlation coefficient and interpret it. How would you describe the direction and strength of the correlation? 0 2 4 6 8 10 12 14 16 18 20 120 140 160 180 200 220 240 260 Salary in Thou ( Y) Salary in Thou ( Y) SCATTER DIAGRAM

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1 Correlation B/w Assets & Sales Correlation Assets (X) Sales(Y) X^2 Y^2 X*Y Count= 1034 1510 1069156 2280100 1561340 10 956 785 913936 616225 750460 1890 2533 3572100 6416089 4787370 1133 532 1283689 283024 602756 11682 3790 136469124 1E+007 44274780 6080 635 36966400 403225 3860800 31044 3296 963729936 10863616 102321024 5878 3204 34550884 10265616 18833112 1721 981 2961841 962361 1688301 2135 2268 4558225 5143824 4842180 63553 19534 1186075291 5E+007 183522123 r( X,Y) = r( X,Y) = Co v ( X, Y ) = 1 /10 (183522123) - [ 1/10 *63553 ] [ 1/10 *19534] = 5937769 S. D ( X ) =
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