Discuss the below:
Q: The owner of Maumee Motors wants to study the relationship between the ages of a car and its selling price. Listed on the attached worksheet is a random sample of 12 used cars sold at Maumee Motors during the last year.
If we want to estimate selling price based on the age of the car, which variable is the dependent and which is the independent variable?
Draw a scatter diagram
Determine the coefficient of correlation.
Determine the coefficient of determination
Interpret these statistical measures. Does it surprise you that the relationship is inverse?
Attachment:- Significance of the Correlation Coefficient.rar