College basketball is big business, with coaches’ salaries, revenues, and expenses in millions of dollars. The file college Basketball contains the coaches’ salary and revenue for college basketball at 60 of the 65 schools that played in the 2009 NCAA men’s basketball tournament. (Data extracted from “Compensation for Division I Men’s Basketball Coaches,” USA Today, April 2, 2010, p. 8C; and C. Isadore, “Nothing but Net: Basketball Dollars by School,” money.cnn.com/2010/03/18/news/companies/basketball_ profits.)
a. Compute and interpret the coefficient of correlation, r.
b. At the 0.05 level of significance, is there a significant linear relationship between a coach’s salary and revenue?
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