Page 39 - Industrial Process Plant Construction Estimating and Man Hour Analysis

Introduction to construction statistics using Excel Chapter 1 9

Gridlines, Legend, Trendline, and More Options: Display equation on
chart and Display R-squared value on chart.

CORREL (R1, R2)¼CORREL (D172-D175; E172-E175) 0.9784
CORREL (R1, R2)^2¼CORREL (D172-D175; E172-E175) ^2 0.9573

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The coefficient of determination is R ¼0.9573, and the correlation coeffi-
cient, R¼ 0.9784, is a strong indication of correlation. 97.8% of the total var-
iation on Y can be explained by the linear relationship between X and Y
(described by the regression equation, Y¼0.0066X+0.2939). The relationship
between X and Y variables is such as X increases and Y increases.