A Pearson Correlation of R = +0

question 54

Multiple Choice

A Pearson correlation of r = +0.9 indicates that a graph of the data would show points ____.

• A) clustered close to a line that slopes up to the right
• B) clustered close to a line that slopes down to the right
• C) widely scattered around a line that slopes up to the right
• D) widely scattered around a line that slopes down to the right

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Definitions:

Balance Sheet

A financial statement that reports a company's assets, liabilities, and shareholders' equity at a specific point in time.

Common Stock

Type of equity ownership in a corporation, entitling holders to vote at shareholder meetings and to receive dividends.

Taxable Income

The amount of income that is used to calculate an individual's or a company’s income tax due, after exemptions and deductions.

Operating Income

Earnings before interest and taxes (EBIT), representing a company's profit from regular operations, excluding non-operational income and expenses.