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CIMA BA1 · Chapter 11 · Question 1 of 11

A correlation coefficient of -0.9 between two variables indicates:

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Reveal answer & explanation

Correct answer: B) A strong negative linear relationship

Explanation

The correlation coefficient lies between -1 and +1. A value close to -1 indicates a strong linear relationship where one variable tends to fall as the other rises. Correlation does not prove causation.

All 11 questions in Chapter 11Forecasting: correlation, regression and time series MCQs with answers

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