Sales Executive 1 2 3 4 5 Sales before 1.6 1.35 2.25 1.89 2.15 Sales after 1.85 1.68 1.95 2.04 2.48 On the basis of these samples, is there any statistical evidence that the sales course significantly improves sales performance? (i) Conduct a relevant hypothesis test (use a significance level of α=0.05), stating any assumptions that have to be made (ii) Comment on your findings.
Correlation
Correlation defines a relationship between two independent variables. It tells the degree to which variables move in relation to each other. When two sets of data are related to each other, there is a correlation between them.
Linear Correlation
A correlation is used to determine the relationships between numerical and categorical variables. In other words, it is an indicator of how things are connected to one another. The correlation analysis is the study of how variables are related.
Regression Analysis
Regression analysis is a statistical method in which it estimates the relationship between a dependent variable and one or more independent variable. In simple terms dependent variable is called as outcome variable and independent variable is called as predictors. Regression analysis is one of the methods to find the trends in data. The independent variable used in Regression analysis is named Predictor variable. It offers data of an associated dependent variable regarding a particular outcome.
c) An online training company claims that its sales course significantly improves the sales performance of sales executives. A telesales company decides to enrol 5 of its sales executives on the course. The following table provides information on each of the 5 sales executives’ sales (in £000s) in the month before and the month after they undertake the sales course: Sales Executive 1 2 3 4 5
Sales before 1.6 1.35 2.25 1.89 2.15
Sales after 1.85 1.68 1.95 2.04 2.48
On the basis of these samples, is there any statistical evidence that the sales course significantly improves sales performance?
(i) Conduct a relevant hypothesis test (use a significance level of α=0.05), stating any assumptions that have to be made
(ii) Comment on your findings.
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