Math Problem Statement
please calculate the correlation coefficient of this data
Solution
The correlation coefficient between the company's online ad spend and sales revenue is approximately . This indicates a very strong positive linear relationship between the two variables.
Would you like further details or have any questions?
Here are some related questions:
- What is the significance of a correlation coefficient close to 1?
- Can we predict future sales revenue based on this data?
- How would a correlation coefficient of 0 or -1 affect the relationship?
- What other factors could influence sales revenue besides ad spend?
- How can we calculate a regression equation using this data?
Tip: A high correlation does not always imply causation; further analysis is often necessary to determine the nature of the relationship.
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Math Problem Analysis
Mathematical Concepts
Statistics
Correlation
Formulas
Pearson correlation coefficient formula
Theorems
Pearson's Correlation Theorem
Suitable Grade Level
Undergraduate
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