Skip to main content

Linear Regression and Correlation |CA Foundation


Linear Regression and Correlation: Paper-3 of the CA Foundation

Correlation is a calculation in the account and venture businesses that determines how far two defenses shift according to each other. Relationships are used in the executives' cutting-edge portfolio, known as the relation coefficient, which has a value that must fall between 1.0 and + 1.0.0.

 Correlation is a metric that determines how often two variables change according to each other. In addition, the correlation will measure the creation of inventory with that of a benchmark file, such as the S&P 500. Correlation estimates affiliation but does not indicate whether x causes y or the other way around, or whether a third, maybe inconspicuous, factor causes the affiliation.

 A correlation or simple linear regression analysis can decide if the two numeric variables have a significant correlation. A correlation analysis offers details about the intensity and direction of the linear relationship between two variables, while a simple linear regression analysis calculates parameters in a linear equation that can be used for one variable to predict values based on the other.

 An ideal positive correlation means that the coefficient of the relationship is actually 1. This means that, in a similar course, when one security moves, either up or down, the other security moves in lockstep. An ideal negative correlation means that two resources shift in inverse ways, while a zero correlation does not in any way imply a straight relationship.

 For example, big-cap shared assets, by and large, have a highly secure connection with or nearly one of the Standard and Poor's (S&P) 500 Index. There is a good relationship between small-cap stocks and the S&P, but it is not as large or about 0.8. In any event, there would usually be a negative correlation between the alternative costs and their fundamental stock costs. A suggested alternative gives the proprietor the right, but not the duty, to sell a certain basic security measure at a pre-decided cost within a pre-determined time period for an audit. When the basic stock value declines, alternate deals become more valuable. At the end of the day, as the cost of the stock rises, the alternative put

 Read more about Linear Regression and much about Linear Regression and Correlation at the Takshila learning Blog section.


Now prepare smartly for CA Foundation with our ca foundation class Via.. ca foundation video lectures Learn direct from your home/office. We here at Takshila Learning provide you the ca foundation online coaching, ca foundation Pendrive Classes along with ca foundation online lectures and CA foundation Study Material to help you prepare for your Ca foundation Exam with the utmost ease.

Visit Takshila Learning for More Information About CS Executive Course

Call at 8800999280 / 8800999283 / 8800999284

Labels:

Comments

Post a Comment

Thank you we will contact ASAP.

Popular posts from this blog

Magnetic and non-magnetic material Class 6 Science

Magnetic and non-magnetic material  Class 6 Science A magnet is a substance that is drawn to certain magnetic materials like iron, cobalt, and nickel. Magnets have the ability to draw iron to them. Natural magnets are rocks that naturally draw iron. Non-magnetic materials include things like wood, rubber, coins, feathers, leather, etc. that are not drawn to iron. Magnet characteristics It pulls magnetic materials, such as iron. The magnet's two ends are referred to as its poles. The magnet's diametrically opposed poles are drawn together. Heating, hammering, or dropping causes it to lose its characteristics. On the basis of properties types of Magnets Temporary magnets are those magnets that are magnetic for only a little duration. Typically, iron, cobalt, or nickel are used to make them. When they are close to the powerful magnet, they act like a magnet. When they are yanked away from the powerful magnet, they stop being magnetic. Permanent magnets are magnets that have magne...
Post a Comment
Read more

Best Sample papers for Bank PO Exam Download

Sample papers for Bank PO Exam | Question Paper for Bank PO : Institute of banking Personnel Selection (IBPS) Department issued a Notification of IBPS PO 2017  exam announced in October month. IBPS Probationary Officer (PO) Online Application Form process will be begin from July 2017. This is a hard exam for all students so aware of its value. Large number of  candidates will participate in this exam. So all candidates should prepare well for it. Check out IBPS, Bank PO Sample papers, Question Paper Pattern, SBI  PO Syllabus ,   IBPS Syllabus  and other IBPS PO Preparation 2017 This paper is identical to any Bank PO Question Paper Pattern. Check whole IBPS Bank “PO question paper” subject wise. IBPS (PO) Paper Pattern Analysis with Syllabus and main topics of IBPS Exam 2017. PO Question Paper Pattern, Bank PO sample Papers for IBPS Bank Exam IBPS PO Exam will be conducted at three levels 1st- PO Preliminary Exam 2nd- PO Mains Exam 3rd- PO Common ...
Post a Comment
Read more

Online/Offline CBSE Coaching Classes for class 9

CBSE Coaching Class 9 :-   In a move to make the digital India and Skill India dream into a reality, we are providing the best courses to our students in e-learning mode. Our program consists of entire 9th class syllabus in a fun learning method with various ways like sounds and animations. Our content is in 2-D & 3-D animation for better understanding of students. So That students will be understand every thing clearly and it makes the learning easy and entertaining. We are offering the following subjects for class 9th Standard:   Maths Class Physics Class Chemistry Class Biology Class Our E-learning provides the best and trained teachers with highly qualified for the respective subjects, they help to improve the students’ performance and to teach the every concept clear and easy in better way. Our main motive is to help students to learn well and gain more marks with making  their basic concept strong and good knowledge base ...
Post a Comment
Read more