PRC-2 · Chapter 8 · Question 27 of 60
If you multiply each observation of variable X by 100, what will happen to a correlation coefficient of 0.9?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) It will remain exactly unchanged at 0.9.
Explanation
The correlation coefficient (r) is independent of the change of scale; multiplying observations by a large constant does not alter the underlying linear value of r.
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