A Correlation of Zero Between Two Quantitative Variables Means That

question 163

Multiple Choice

A correlation of zero between two quantitative variables means that ________________________ .

• A)we have done something wrong in our calculation of r
• B)there is no association between the two variables
• C)there is no linear association between the two variables
• D)re-expressing the data will guarantee a linear association between the two variables
• E)None of the above.

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Definitions:

Accounting Equation

The accounting equation is a fundamental principle of financial accounting that states assets equal liabilities plus equity.

Source Documents

Original records or documents that contain the details of a business transaction, used as evidence in accounting.

Financial Leverage

The use of borrowed funds (debt) to amplify returns from investments or projects.

Debt Ratio

A financial ratio that measures the extent of a company's leverage, calculated by dividing total liabilities by total assets.