The following two way table shows the sales revenue (in lakhs Rs.) and advertising expenditure (in lakhs Rs.) of a company. Find correlation…
BBS Business Statistics · 2079 · Solved Question with Answer
The following two way table shows the sales revenue (in lakhs Rs.) and advertising expenditure (in lakhs Rs.) of a company. Find correlation coefficient between them and interpret the result. Also test the significance of correlation coefficient. Estimate the sales revenue when advertising expenditure is Rs. 50 lakhs
| Sales Revenue ( in Lakh Rs) | Advertising Expenditure (in Lakhs Rs) | ||||
| 5 -15 | 15 - 25 | 25 - 35 | 35 -45 | Total | |
| 75 -125 | 3 | 4 | 4 | 8 | 19 |
| 125 -175 | 8 | 6 | 5 | 7 | 26 |
| 175 - 225 | 2 | 2 | 3 | 4 | 11 |
| 225 - 275 | 3 | 3 | 2 | 2 | 10 |
| Total | 16 | 15 | 14 | 21 | 66 |