Suppose you have two random samples of the profit margins obtained by two(adsbygoogle = window.adsbygoogle || []).push({});

stock traders, Trader A and Trader B. The first data set consists of 18

data, and the second has 21.

I want to check if there is association between the variables

"type of trader" (values A or B) and "profit margin". In words,

I need to find out if the choice of trader influences the profit

margin obtained.

Since the observations are not paired and, after all,

the numbers of observations are distinct, I cannot use

the linear correlation coefficient formula.

I know there is a formula to verify if a nominal (discrete)

variable and a continuous varible are associated. I also

know it involves the means and standard deviations of

both data sets. I have been told, too, that it gives a result

ranging from 0 to 1 and that, the closer it is to 1, the stroger

is the association.

The trouble is I missed the class about the formula

and it has proven really hard to find it on the web, since

I don't know its name. So I would really appreciate if you guys

could write it down for me. I need it as soon as possible and

I can't ask my teacher right now; so I really need your help.

If the data sets are needed, I can provide them. But I don't think

they're necessary, now that it's only the formula what I need. I

already know how to solve the problem.

Thanks in advance,

hellofolks.

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# Association between nominal and continuous variables

Can you offer guidance or do you also need help?

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