for each correlation coefficient below, calculate what proportion of variance is shared by the two correlated variables: r=.80
for each correlation coefficient below, calculate what proportion of variance is shared by the two correlated...
Which of the following are true statements about the correlation coefficient r? I. A correlation coefficient of .3 means that 30% of the points are highly correlated. II. The square of the correlation measures the proportion of the y-variance that is predictable from a knowledge of x. III. Perfect correlation, that is, when the points lie exactly on a straight line is r = 0.
22. The coefficient of determination explains the relationship between two variables the proportion of variance in one variable accounted for by another variable and vice versa the cause–effect relationship between two variables all of the above 23. The ____________ assumption is met if, in a scatterplot, the distance from the points to the line is relatively equal all along the line. a. homoscedasticity b. linearity c. curvilinearity d. heterolinearity 24. The strength of a relationship between two variables in correlation...
A) What is the variance of each stock? B) What is the coefficient of correlation between stock A and B? C) If you invest 80% of your money in A and 20% in B, what would be your portfolio's expected rate of return and standard deviation? Consider the following probability distribution for stocks A and B: State Probability Return on Stock A Return on Stock B 0.20 5.0% 8.0% 0.15 7.0% 5.0% 0.40 -8.0% 9.0% 0.10 6.0% -15.0% 0.15 9.0%...
Determine whether each of the following statements regarding the correlation coefficient is true or false. The correlation coefficient equals the proportion of times that two variables lie on a straight line. The correlation coefficient will be +1.0 if all the data points lie on a perfectly horizontal straight line. The correlation coefficient measures the strength of any relationship that may be present between two variables. The correlation coefficient must always lie between –1.0 and +1.0.
If a researcher obtained an r of -0.85, what could you say about this correlation? - This is a strong negative correlation. O This is a strong positive correlation. O This is a weak negative correlation. O This is a weak positive correlation. Question 4 1 pts If a researcher wanted to see if cumulative GPA predicts GRE scores, which of the two variables would be the predictor variable? The number of participants None of the other answers O GRE...
Which of the following statements regarding the correlation coefficient is not true? A) The correlation coefficient has values that range from-1.0 to 1.0 inclusive. B) The correlation coefficient measures the strength of the linear relationship between two numerical variables C) A value of 0.00 indicates that two variables are perfectly linearly correlated D) All of these are true statements
(c) Compute the sample correlation coefficient r for each of the following data sets and show that r is the same for both. (Use 3 decimal places.) (a) Look at the data below regarding the variables x = age of a Shetland pony and y = weight of that pony. Is the value of Ir large enough to conclud that weight and age of Shetland ponies are correlated? Use a = 0.05. (Use 3 decimal places.) x y 3 60...
Consider two assets A and B. Each has the same expected return. Suppose that the variance of the return on A is 49 and the variance of the return on asset B is 100. The returns on the two assets are correlated with a correlation coefficient of .4. If an investor wants to hold a portfolio of the two assets that has the smallest variance of its return, what fraction of the investor’s wealth should be in asset A? How...
Which of the following means that two or more independent variables are highly correlated with each other? Multiple Choice value Correlation Standard error Multicollinearity R-Squared < Prev 20 of 50 Next >
Which of the following means that two or more independent variables are highly correlated with each other? Multiple Choice value Correlation Standard error Multicollinearity R-Squared < Prev 20 of 50 Next >