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What does the coefficient of determination equal

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1a. If correlation coefficient r = 0.65, what does the coefficient of determination equal? Interpret your result.

b. A study of 20 worldwide financial institutions showed the correlation between their assets and pretax profit to be .86. At the .05 significance level, can we conclude that there is positive correlation in the population? Show how you arrived at your answer.

c.  A hypothesis test is conducted at the .05 level of significance to test whether or not the population correlation is zero. If the sample consists of 25 observations and the correlation coefficient is 0.60, what is the computed value of the test statistic? Round to two decimal places. 

d. In the least squares equation, Y = 10 + 20X, explain what the value of 20 indicates.

Reference no: EM131880908

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