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>>Select the most appropriate response . If the correlation between a person’s a

ID: 3154655 • Letter: #

Question

>>Select the most appropriate response. If the correlation between a person’s age and annual income is 0.60, then the coefficient of determination tells us that:

36% of the variation in a person’s annual income can be explained by the predictor variable age.

36% of a person’s annual income can be explained by their age

60% of the variation in a person’s annual income can be explained by the predictor variable age

60% of a person’s annual income can be explained by their age

>>Select the most appropriate response. A university statistician found that the correlation between college GPA and starting salary was 0.12. On the basis of this you would tell the university that:

GPA is a good predictor of starting salary.

students with low GPA’s will have the lowest starting salaries.

GPA is a poor predictor of starting salary.

students with high GPA’s will have the highest starting salaries.

GPA is a good predictor of starting salary.

students with low GPA’s will have the lowest starting salaries.

GPA is a poor predictor of starting salary.

students with high GPA’s will have the highest starting salaries.

Explanation / Answer

If the correlation between a person’s age and annual income is 0.60, then the coefficient of determination tells us that:

36% of the variation in a person’s annual income can be explained by the predictor variable age.

Because, coefficient of determination=r^2=0.60^2=0.36

A university statistician found that the correlation between college GPA and starting salary was 0.12.

It tells that GPA is a poor predictor of starting salary. As the correlation is not at all strong.

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