Students who apply to MBA programs must take the Graduate Management Admission the GMAT score as one of the critical indicators of how well a students is likely to perform in the MBA program. However, the GMAT may not be a very strong indicator for all MBA programs. Suppose that an MBA program designed for middle managers who wish to upgrade their skills was launched 3 years ago. To judge how well the GMAT score predicts MBA performance, a sample of 12 graduates was taken. Their grade point averages in the MBA program (values from 0 to 12) and their GMAT score (value range from 200 to 800) are listed here. Compute the covariance, the coefficient of correlation and the coefficient of determination. Interpret your findings.

GMAT 599 689 584 631 594 643

GPA 9.6 8.8 7.4 10.0 7.8 9.2

GMAT 656 594 710 611 593 683

GPA 9.6 8.4 11.2 7.6 8.8 8.0