# Examine the data to see if there is any relationship between the price and the quantity demanded. Determine the correlation coefficient between price and demand, rounded to the nearest hundredth. Explain the significance of the correlation coefficient. A company produces a security device known as Toejack. Toejack is a computer chip that parents insert between the toes of a child,

Chapter 9, Application 9.8 #9

Examine the data to see if there is any relationship between the price and the quantity demanded. Determine the correlation coefficient between price and demand, rounded to the nearest hundredth. Explain the significance of the correlation coefficient.

A company produces a security device known as Toejack. Toejack is a computer chip that parents insert between the toes of a child, so parents can track the child’s location at any time using an online system. The company has entered into an agreement with an Internet service provider, so the price of the chip will be low. Set up a demand function—a schedule of how many Toejacks would be demanded by the public at different prices.