Which of the Following Correlation Coefficients Represents the Strongest Relationship

question 75

Multiple Choice

Which of the following correlation coefficients represents the strongest relationship between two variables?

• A) .50
• B) .25
• C) -.25
• D) -.75

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Definitions:

Direct Materials

Raw materials that are directly incorporated into a finished product and are a significant part of the manufacturing process.

Standard Materials Price

The price set for budgeting purposes for materials in manufacturing, often used in variance analysis.

Standard Materials Price

The pre-determined cost assigned to materials used in production, for budgeting and variance analysis purposes.

Direct Materials

Direct materials are raw materials that are directly traceable to the manufacturing of a product and are a component of the total manufacturing cost.