Question
What steps are involved in the procedure of calculating Karl Pearson’s coefficient of correlation by direct method?
Solution
Steps involved in the procedure of calculation of Karl Pearson’s coefficient of correlation by direct method.
1. Calculate mean value x and y.
2. Calculate deviations of values of x series from mean value.
3. Square the deviations.
4. Calculate deviation of values of y series from mean value.
5. Square the deviation.
6. Multiply the square of deviation of X series with the square of deviations of Y series.
7. Use the following formula for calculating correlation coefficient
