A company would like to examine the linear relationship between the age and credit score of...

A company would like to examine the linear relationship between the age and credit score of an individual. The following table shows the credit scores and ages of 5 randomly selected people. These data have a sample correlation coefficient, rounded to three decimal places, of

0.973.

Using this data and

α=0.10,

test if the population correlation coefficient between a person's age and credit score is different than zero. What conclusions can you draw?

Age	32	24	52	21	34
Credit score	670	650	760	615	660

What is the test statistic?

t=__________

b. what is p- value_____________

reject or not reject

does apear or does not

Solutions

Expert Solution

The population correlation coefficient is

Test for Correlation coefficient:

Thus we conclude that the population correlation coefficient is not equal to zero. i.e. there exist linear relation ship between Age and Credit Score.

orchestra answered 1 year ago

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