Answer Happy

Q4. BMI (Body Mass Index), age and income of randomly selected 15 customers of LifeStyle Centre, and select summary measures and correlation coefficients computed from the raw data are given below. [7] Customer No. Age BMI Income Customer-1 40 23 50 Customer-2 38 28 130 Customer-3 38 40 160 Customer-4 32 33 80 Customer-5 40 30 120 Customer-6 32 20 40 Customer-7 24 30 160 Customer-8 30 33 60 Customer-9. 24 25 70 Customer-10 44 35 130 Customer-11 30 23 30 Customer-12 44 18 40 Customer-13 66 28 70 Customer-14 26 25 80 Customer-15 44 28 110 Minimum 24.0 18.0 30.0 Average 36.8 27.9 88.7 Maximum 36.8 27.9 88.7 Sample Stdev 10.7 5.9 43.4 Sample Variance 107.6 32.2 1758.2 Correlation coefficient, r Age and BMI 0.048 BMI and Income 0.731 Income and Age -0.007 (a) What do these correlation coefficients indicate? Give precise answer(s). (b) How can BMI-Lifestyles make use of these correlation coefficients for its marketing and promotion strategy- make 2 or more precise recommendations. 2