Consider the relationship between the number of bids an item on eBay received and the item's selling price. The following is a sample of 5
 items sold through an auction.

Price in Dollars	120
150
160
180
190
Number of Bids	12
15
16
17
18

Calculate the correlation coefficient, r. Round your answer to three decimal places.

The correlation coefficient \( r \) between the number of bids and the selling price is 0.991, rounded to three decimal places. This indicates a very strong positive linear relationship between the two variables.

Would you like more details on how the calculation was done or have any questions?

Here are 5 related questions to expand your understanding:
1. How do we interpret the correlation coefficient \( r \) in terms of strength and direction?
2. What other methods can we use to determine relationships between two variables besides correlation?
3. Can the correlation coefficient imply causation between price and bids?
4. How does outlier data affect the correlation coefficient?
5. What is the formula for calculating the correlation coefficient manually?

**Tip**: A correlation coefficient close to 1 or -1 means the data points closely follow a straight line, indicating a strong linear relationship.

Consider the relationship between the number of bids an item on eBay received and the item's selling price. The following is a sample of 5 items sold through an auction.

Price in Dollars: 120, 150, 160, 180, 190
Number of Bids: 12, 15, 16, 17, 18

Calculate the correlation coefficient, r. Round your answer to three decimal places.

This problem involves calculating the correlation coefficient (r) between the number of bids an item received and its selling price in an eBay auction. Using data from 5 sample items, you'll apply the Pearson correlation formula to determine the strength of the linear relationship. Suitable for students in Grades 10-12.

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