Chapter 5 Homework Session 5.4 — Covariance & Correlation

1) Objective

Use Excel to compute summary statistics for the dataset and analyze the relationship between Class Participation and Statics Grade.

2) Tasks

1. Compute for each variable:
   • Mean (μ)
   • Variance (Var)
   • Standard Deviation (σ)
2. Compute for both variables together:
   • Covariance
   • Correlation coefficient (ρ)
3. Write a short interpretation:
   • Is the relationship positive or negative?
   • Is it strong or weak?

3) Hints

• Use Excel functions:
  • =AVERAGE(range)
  • =VAR.P(range) or =VAR.S(range)
  • =STDEV.P(range) or =STDEV.S(range)
  • =COVARIANCE.P(range1,range2)
  • =CORREL(range1,range2)
• Label all results clearly in your Excel sheet.

4) Deliverable

• Submit an Excel file with all computed values and labeled formulas.
• Add 2–3 sentences interpreting your correlation result.