Q 3: AI Matra LLC has recently hired Mr. Musab, a professional market researcher. Mr. Musab is interested to find out relationship between cost incurred and revenue earmed by the company. He collected the data of last 7 years from the accounts department, but he is confused about the method which can find out the relationship. Revenue Cost Incurred Earned Year (OMR in (OMR in Millions) Millions) 2013 20 2014 10 22 2015 22 2016 18 2017 20 2018 12 24 2019 10 25 a) Find out the correlation value and give interpretation of the result b) If correlation value is 1.25, discuss the result analytically.

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Q 3: Al Matra LLC has recently hired Mr. Musab, a professional market researcher. Mr. Musab is
interested to find out relationship between cost incurred and revenue earned by the company. He
collected the data of last 7 years from the accounts department, but he is confused about the method
which can find out the relationship.
Revenue
Cost Incurred
Earned
Year
(OMR in
(OMR in
Millions)
Millions)
2013
20
2014
10
22
2015
9
22
2016
18
2017
11
20
2018
12
24
2019
10
25
a) Find out the correlation value and give interpretation of the result
b) If correlation value is 1.25, discuss the result analytically.
Transcribed Image Text:Q 3: Al Matra LLC has recently hired Mr. Musab, a professional market researcher. Mr. Musab is interested to find out relationship between cost incurred and revenue earned by the company. He collected the data of last 7 years from the accounts department, but he is confused about the method which can find out the relationship. Revenue Cost Incurred Earned Year (OMR in (OMR in Millions) Millions) 2013 20 2014 10 22 2015 9 22 2016 18 2017 11 20 2018 12 24 2019 10 25 a) Find out the correlation value and give interpretation of the result b) If correlation value is 1.25, discuss the result analytically.
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