Question

The correlation between house price​ (in dollars) and area of the house​ (in square​ feet) for some houses is 0.91. If you found the correlation between house price in thousands of dollars and area in square feet for the same​ houses, what would the correlation​ be?

Answer 1

0.91

Step-by-step explanation:

Data provided in the question:

Correlation = 0.91 for the house price​ (in dollars) and area of the house​ (in square​ feet)

Now,

The new correlation will also be 0.91.

The changing of units or multiplying the numbers for a variable by a positive constant does not affect the value of the correlation.

hence, for the change of dollars to thousands of dollars, will not change the previous value of correlation.