• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Free ACCA & CIMA online courses from OpenTuition

Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

  • ACCA
  • CIMA
  • FIA
  • OBU
  • Books
  • Forums
  • Ask AI
  • Search
  • Register
  • Login
  • ACCA Forums
  • Ask ACCA Tutor
  • FIA Forums
  • CIMA Forums
  • OBU Forums
  • Qualified Members forum
  • Buy/Sell Books
  • All Forums
  • Latest Topics

Save 20% on ACCA & CIMA Books

Interactive BPP books for June 2026 exams, recommended by OpenTuition.
Get discount code >>

Forecasting

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA MA – FIA FMA › Forecasting

  • This topic has 3 replies, 2 voices, and was last updated 4 years ago by AvatarJohn Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • September 27, 2021 at 9:59 am #636575
    AvatarNguyen
    Participant
    • Topics: 14
    • Replies: 13
    • ☆

    Hi John. Could you please help me with the question 4a.5 in MA Kit?

    Using data from twelve European countries, it has been calculated that the correlation between the level of car ownership and the number of road deaths is 0.73.

    So, why the option “High levels of car ownership cause high levels of road deaths” is wrong?

    Thank you so much in advance.

    September 27, 2021 at 5:34 pm #636608
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54839
    • ☆☆☆☆☆

    A high degree of correlation means that the two things move fairly well together, but never proves that one causes the other.

    For example, suppose there is a high correlation between the amount of alcohol people drink and the number of heart attacks. That might mean that alcohol causes heart attacks, but it might simply be that people who drink a lot of alcohol also eat lots of fried food and that it is the fried food that causes the heart attacks and not the alcohol.

    (That is one of the dangers in real life – that people quote statistics saying that they are proof of something when they do not actually prove it 🙂 )

    September 28, 2021 at 12:29 pm #636637
    AvatarNguyen
    Participant
    • Topics: 14
    • Replies: 13
    • ☆

    Thank you so much John.

    September 28, 2021 at 3:17 pm #636645
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54839
    • ☆☆☆☆☆

    You are welcome 🙂

  • Author
    Posts
Viewing 4 posts - 1 through 4 (of 4 total)
  • The topic ‘Forecasting’ is closed to new replies.

Primary Sidebar

ACCA News:

ACCA My Exam Performance for non-variant

Applied Skills exams is available NOW

ACCA Options:  “Read the Mind of the Marker” articles

Subscribe to ACCA’s Student Accountant Direct

ACCA CBE Exams – Instant Poll

How was your exam, and what was the exam result?

BT CBE exam was.. | MA CBE exam was..
FA CBE exam was.. | LW CBE exam was..

Donate

If you have benefited from OpenTuition please donate.

PQ Magazine

Latest Comments

  • chinmayee on The valuation of mergers and acquisitions (part 1) – ACCA (AFM) lectures
  • Mushfig1993 on Introduction to Financial Accounting – ACCA Financial Accounting (FA) lectures
  • Mushfig1993 on Introduction to Financial Accounting – ACCA Financial Accounting (FA) lectures
  • Nihaanshi on Activity Based Costing part 1 – ACCA Performance Management (PM)
  • SAUMYAMUNDHRA on MA Chapter 3 Questions Presenting Information

Copyright © 2026 · Contact · Advertising · OpenLicense · About · Sitemap · Privacy Policy · Cookie settings · Comments · Log in