Covariance

• Covariance is a statistical tool i.e. used to determine the relationship between movement of two variables.
• formula
• Formuala Usage:

Correlation

• Correlation coeffecient are indicators of strength of linear relationship between two different variables x and y.
• A linear correlation coeffecient has the values in the range of -1.0 to 1.0
  • -1.0 is referred as perfect negative correlation
  • 1.0 is referred as perfect positive correlation
  • 0 indicates there is no relation between variables (independent variable)
• Formula:
• Refer Here for the xlsx file
• Exercise:
  • Calculate covariance and correlation between two variables reading and writing scores of SAT