# Students who apply to MBA programs must take the Graduate Management Admission Test (GMAT). University admissions committees use the GMAT score as one of the critical indicators of how well a student is likely to perform in the MBA program. However, the GMAT may not be a very strong indicator for all MBA programs. Suppose that an MBA program designed

Students who apply to MBA programs must take the Graduate Management Admission Test (GMAT). University admissions committees use the GMAT score as one of the critical indicators of how well a student is likely to perform in the MBA program. However, the GMAT may not be a very strong indicator for all MBA programs. Suppose that an MBA program designed for middle managers who wish to upgrade their skills was launched 3 years ago. To judge how well the GMAT score predicts MBA performance, a sample of 12 graduates was taken. Their grade point averages in the MBA program (values from 0 to 12) and their GMAT score (values range from 200 to 800) are listed here. Compute the covariance, the coefficient of correlation, and the coefficient of determination. Interpret your findings.

GMAT and GPA Scores for 12 MBAStudents