🎓CFA Final Prep All Topics

Deck 10 – Tests of Independence (LM9)

Card1 / 39
Question

For the Pearson correlation t-test, what null hypothesis is tested about the population correlation?

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Answer

H0​:ho=0.

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Question

When would you use a Pearson correlation t-test instead of a rank-based test?

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Answer

When testing linear association with a parametric correlation measure.

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Question

What is the test statistic for the Pearson correlation test of independence?

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Answer

t=r1−r2n−2​​.

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Question

What degrees of freedom are used for the Pearson correlation t-test?

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Answer

n−2.

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