In: Finance
how do i work out the correlation coefficient on my hp 10bii financial calculator... please show steps
For example you have to calculate correlation between:
Return
Year S&P 500 Stock Y
2001 23.2% 56.8%
2002 -10.1 -23.1
2003 -8.3 -31.0
2004 28.2 32.8
2005 10.1 11.1
Use the INPUT and ?+ key to enter the two fields of data:
GOLD C ALL
23.2 INPUT 56.8 ?+
10.1 +/– INPUT 23.1 +/– ?+
8.3 +/– INPUT 31.0 +/– ?+
28.2 INPUT 32.8 ?+
10.1 INPUT 11.1 ?+
Now press GOLD and x^, r ( This key would number 4
key)
Then press GOLD and SWAP key