True about correlation coefficient:
Correct Answer: Value lies between -1 to +1
Description: Ans. D. Value lies between -1 to +1Correlation: Often we wish to know if there is linear relation between two variables, e.g. height and weight. To find out the strength of association between the two variables we calculate the coefficient of correlation and it is denoted by V.The value of r can lie between -1 to +1If r = 0 then there is no association between the two variables.Regression: Used when we wish to calculate unknown value of a variable, when we know value of another variable.The known variable is called independent variable and denoted by x and the unknown variable is called dependent variable denoted by y.Equation for linear regression is given byy = a + bxWhere y is dependent variable, a is constant, b is the regression coefficient and x is independent variable.Coming to the present questionOption a is wrong as correlation coefficient is denoted by r and not r2.Option b has to be false if option d is correct. In such questions, where there are two mutually exclusive options, i.e. of the two statement one explains the other and only one can be true, you easily rule out the other two even if you do not know about them. Thus, in this question even if you do not know a thing about correlation (which by now you do pretty well) you can conclude answer has to be either option c or d.Option d is the only true statement among all four.Option c is the definition of regression.
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