A real estate agent has compiled some data on the selling prices of recently sold homes (in $10 000) compared to their distance from the nearest school (in km). (6 marks) 00 8 Distance from School (km) Selling Price ($ 10 000) 7 9 10 4 11 2 11 1 2 12 5 9 8 3 1 6 17 9 25 10 5 6 31 31 29 2 18 23 12 24 2 15 20 The real estate agent runs a linear correlation and concludes that, with a correlation coefficient of r = -0.10..) there is no relationship between the distance from a school, and the selling price is this completely true? Comment on the validity of his result and provide an explanation for the result (Hint: Look at a scatter plot of the data)
