Thirteen students entered the business program at Sante Fe C
Solution
We will try to establish the answer using linear regression equation.
Let,
G = A + B.S
Where,
S ( independent variable ) = SAT score
G ( dependent variable )= GPA
A, B = Constants
We will place all values of GPA and SAT scores as given in two separate columns in excel and apply the formula LINEST ( ) . Accordingly, we get :
A = 1.027
B = 0.0034
Thus, the linear regression equation is :
G = 1.027 + 0.0034.S
Answer to question # b and # c:
Corresponding GPA for a SAT score of 350 = 1.027 + 0.0034 x 350 = 1.027 + 1.19 = 2.217
Corresponding GPA for a SAT score of 800 = 1.027 + 0.0034 x 800 = 1.027 + 2.72 = 3.747
We also find out Correlation coefficient between Sat score and GPA using the formula CORREL ( ) .
Accordingly, Correlation coefficient = 0.69
Answer to question # a :
Correlation coefficient of 0.69 means that there is a positive correlation . The highest value of correlation coefficient possible is 1 . Therefore, 0.69 can be considered as a high value of correlation. Therefore, we can conclude that there is a positive and meaningful correlation between SAT scores and GPA.
