77. Correlation Coefficient

Exercise: Exercise solution: Correlation adjusts covariance so that the relationship between the two variables becomes easy and intuitive to interpret the formulas for the correlation coefficient are the covariance divided by the product of the standard deviations of the two variables. This is either sambil or population depending on the data you’re working with. We already have the standard deviations of the two datasets. Now we’ll use the formula in order to find the sample correlation coefficient. Mathematically there is no way to obtain a correlation value greater than one or less than minus one. Remember the coefficient of variation we ta