I the Purpose of Correlation Analysis Is to Find How

question 101

Multiple Choice

i. The purpose of correlation analysis is to find how strong the relationship is between two variables.
ii. A coefficient of correlation of -0.96 indicates a very weak negative correlation.
iii. The standard error of estimate measures the accuracy of our prediction.

• A) (i), (ii) and (iii) are all correct statements
• B) (i) and (ii) are correct statements, but not (iii).
• C) (i) and (iii) are correct statements but not (ii).
• D) (ii) and (iii) are correct statements but not (i).
• E) All statements are false

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Definitions:

Wages Payable

Wages payable are the amounts owed to employees for work performed that have not yet been paid; it is a liability on the company's balance sheet.

Office Equipment

The tools, devices, or machinery used in an office setting to assist with day-to-day operations, including computers, printers, and furniture.

Credit Entry

An accounting entry that increases a liability or equity account, or decreases an asset or expense account, recorded on the right side of an account.

Asset Accounts

Accounts on a balance sheet that represent the resources owned by a company, which have value and can provide future benefits.