Problem

Given a set of data with a correlation coefficient of 0.89 and a sample size of 20, is the correlation significant?

Solution

Step 1 :Step 1: Compute the test statistic using the formula: \(t = r \sqrt{\frac{n-2}{1-r^2}}\)

Step 2 :Step 2: Substitute the given values into the formula: \(t = 0.89 \sqrt{\frac{20-2}{1-0.89^2}}\)

Step 3 :Step 3: Solve the expression to find the value of t

Step 4 :Step 4: Compare the value of t obtained with the critical t-value in the t-distribution table for degrees of freedom n-2 = 18 and significance level of 0.05, usually, the critical t-value is approximately 2.101.

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Source: https://solvelyapp.com/problems/6u2tyN8z68/

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