The Correlations Table Below Indicates That: Correlations ** Correlation Is Significant at the 0

question 32

Multiple Choice

The correlations table below indicates that: Correlations
$\begin{array}{|l|l|r|r|}\hline & & {\text { Sales }} & \begin{array}{r}\text { Advertising } \\\text { expenditure }\end{array} \\\hline \text { Sales } & \text { Pearson correlation } & 1 & 0.753 (^{* *}) \\\hline & \text { Sig. (two-tailed) } & & 0.005 \\\hline & N & 100 & 100 \\\hline \begin{array}{l}\text { Adverting } \\\text { expenditure }\end{array} & \text { Pearson correlation } & 0.753 (^{* *}) & 1 \\\hline & \text { Sig. (two-tailed) } & 0.000 & \\\hline & N & 100 & 100 \\\hline\end{array}$ ** Correlation is significant at the 0.01 level (two-tailed) .

• A) about 75 per cent of variance in sales can be explained by the variance in advertising expenditure.
• B) about 57 per cent of the variance in advertising expenditure can be explained by the variance in sales.
• C) about 57 per cent of the variance in sales can be explained by the variance in advertising expenditure.
• D) about 75 per cent of the variance in advertising expenditure can be explained by the variance in sales.

---

Definitions:

DVD Production

The process of creating digital versatile discs (DVDs), which involves replication, printing, and packaging of content.

Book Production

The process of creating a book, including writing, editing, designing, printing, and publishing.

Positive Statement

An objective statement that can be tested and validated by referring to the available evidence, often used in economics to describe what is happening.

Normative Statement

An opinion or assertion about how the world ought to be, often reflecting values or judgments that cannot be tested or proven true or false.