00:01
Okay, so in this problem, we started out with a little table with some data, and we're trying to find out the correlation between the number of years and the contribution for something.
00:12
So we have values of 1, 4, 5, 10, 8, and 9 for the years, and 570, 150, 35, 75, and 75, and 70 for the contributions.
00:28
So i put all those into my calculator into list 1 and list 2 and computed the correlation.
00:36
Okay, there's lots of different ways to compute the correlation depending on what program you're using.
00:41
This one i just ran a linear regression and it gave me the r value, which came out to be negative 0 .848.
00:49
So then to see whether or not that is significant, i can look on a value of critical values or a table of critical values for our.
01:00
I had six observations here, right? which means that my degrees of freedom is n minus two, which is four.
01:08
So i go to the table and i find the place with four degrees of freedom and it tells me to use an alpha of 0 .05.
01:17
And when i look up that value on my table with an alpha of 0 .05 and 4 degrees of freedom, i get 0 .811...