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The question below refers to the following situation:
The table below contains the Earned Run Averages (ERA) and team victories for the American Baseball League during a recent season. ERA is the number of earned runs (runs resulting from the other team hitting the ball, not because of errors in the field) a team gives up per 9 innings. The lower the ERA, the better for the team. A low ERA is usually an indication of good pitching, good defense, or both. Given the data below:
Calculate the correlation coefficient.
Tax Rate
The percentage at which an individual or corporation is taxed. The government sets the rate, which can apply to income, capital gains, or other financial figures.
Straight-Line Depreciation
A procedure for assigning the cost of a solid asset over its productive lifetime in equal annual figures.
Marginal Tax Rates
The rate at which an individual or corporation's next dollar of taxable income is taxed.
Pre-Tax Loan Rate
The interest rate on a loan before taking into account any tax deductions that might apply.
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