The age and the market value of 12 second-hand cars are recorded.
Suggest a null and alternative hypothesis for a two tailed test to investigate whether there is a correlation between the age of a car and its market value.
The product moment correlation coefficient is calculated to be r=−0.68r = -0.68r=−0.68.
Test your hypotheses at the 1% significance level.
Practise Edexcel A Level Maths Regression, Correlation and Hypothesis Testing with exam-style questions for A Level Maths. 100 questions covering Exponential Models, Measuring Correlation, and Hypothesis Testing for Zero Correlation, matched to the Edexcel A Level Maths (9MA0) specification and written in Paper 1, Paper 2 and Paper 3 style. Every question includes a full worked solution and mark scheme, so you can see where marks are awarded rather than just whether you got the answer right.