188.8.131.52 - Example: Temperature & Coffee Sales
Data concerning sales at student-run cafe were retrieved from cafedata.xls more information about this data set available at cafedata.txt. Let's determine if there is a statistically significant relationship between the maximum daily temperature and coffee sales.
Maximum daily temperature and coffee sales are both quantitative variables. From the scatterplot below we can see that the relationship is linear.
\(H_0: \rho = 0\)
\(H_a: \rho \neq 0\)
|Pearson correlation of Max Daily Temperature (F) and Coffees = -0.741302|
|P-Value = <0.0001|
\(p \leq \alpha\) therefore we reject the null hypothesis.
There is evidence of a relationship between the maximum daily temperature and coffee sales in the population.