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What is the correlation between the selling price and appraised value?

(a) 0.1126

(c) -0.861

(e) -0.928

(b) 0.861

(d) 0.928

Short Answer

Expert verified

(d) 0.928

Step by step solution

01

Given Information

Need to find the correlation between the selling price and appraised value.

02

Explanation

The square of the correlation r2is given in the output as "R-Sq":

localid="1650543763447" r2=86.1%=0.861

The slope of the least-squares regression line is 1.0466, which is positive, and then we know that the linear correlation coefficient r is also positive.

The linear correlation coefficient r is then the positive square root of r2:

localid="1650543785368" r=r2=0.8610.928

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