00:01
Hello everyone, let us look into the equation.
00:03
We know that the coefficient of determination r square equal to 1 minus rss divided by tss where rss equal to 360 .22 and tss is 712 .357.
00:20
So, substitute here it is 1 minus 360 .22 divided by 712 .357 which is 0 .5701.
00:35
So, approximately 57 .01 percentage, this is the r value.
00:41
Now, from this first we can have the correlation coefficient r is square root of r square which is square root of 0 .5701, it is 0 .755.
00:54
From this we can say that there exists high positive correlation between sales volume in hundreds of dollars and location distance from the downtown branch.
01:28
It is measured in kilometers because the value lies between 0 .7 and 0 .9.
01:40
The next one, here we can have the null hypothesis h naught as the relationship is not significant and alternate hypothesis is the relationship is significant and the p -value here is 0 .004 which is greater than 0 .01.
02:06
Hence, we can conclude that we fail to reject the null hypothesis...