Correl in Excel

Correl in Excel

This function converts a value measure in one type of unit, to the same value expressed in a different type of unit, such as Inches to Centimeters.

Microsoft Excel Function

= CORREL(Range1,Range2)              

                                     

Formatting                                                                                                          

The result will normally be shown in decimal format.

Why it?

1. This function examines two sets of data to determine the degree of relationship between the two sets.                                        
2. The result will be a decimal between 0 and  1.
   
3. The larger the result, the greater the correlation. 
4. In Table 1 the Monthly temperature is compared against the Sales of air conditioning units.  
5. The correlation shows that there is an 0.754 relationship between the data.  
6. In Table 2 the Cost of advertising has been compared to Sales.                            
7. It can be formatted as percentage % to show a more meaning full result.   
8. The correlation shows that there is an 28% relationship between the data.                                                                              

Content Data

Table 1				Table 2
Month	Avg Temp	Air Cond  Sales		Sales Promotion Costs	Events Cost
Jan	18	100		Rs. 2,000	Rs. 20,000
Feb	20	200		Rs. 1,000	Rs. 30,000
Mar	25	300		Rs. 5,000	Rs. 20,000
Apr	38	200		Rs. 1,000	Rs. 40,000
May	40	400		Rs. 8,000	Rs. 40,000
Jun	42	400		Rs. 1,000	Rs. 20,000
	Correlation	0.754		Correlation	28%
		=CORREL(D5:D10,E5:E10)			=CORREL(G5:G10,H5:H10)