Correlation
SCATTER DIAGRAM
SCATTER DIAGRAM
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Scatter diagram is a representation of the
degree and direction of correlation.
MERITS AND DEMERITS OF SCATTER DIAGRAM
Merits of scatter diagram
 1 Simple method
 2 Easily understandable
 3 Unaffected by extreme items.
Demerits
 Rough measure
 Not a practice measure
 Unsuitable for large observations