Now,
Since r is positive and 0.6. This shows that the correlation is positive and moderate (i.e. direct and reasonably good).
Example From the following data compute
the coefficient of correlation between x and y.
Example If covariance between x and y is
12.3 and the variance of x and y are 16.4 and 13.8 respectively.
Find the coefficient of correlation between them.
Solution: Given  Covariance = cov
( x, y ) = 12.3
Variance of x ( s
_{x}^{2 } )= 16.4
Variance of y (s_{y}^{2
} ) = 13.8
Now,

Index
6. 1 Introduction
6. 2 Correlation
6. 3 Types of Correlation
6. 4 Degrees of Correlation
6. 5 Methods of determining correlation 6.
6 Coefficients of Correlation for Bivariate Grouped Data
6. 7 Probable Error
6. 8 Rank Correlation Coefficient
6. 9 Linear Regression
Chapter 7
