After reading this chapter, you should be able to:

1. Identify the direction and strength of a correlation between two factors.
2. Compute and interpret the Pearson correlation coefficient and test for significance.
3. Compute and interpret the coefficient of determination.
4. Define homoscedasticity, linearity, and normality and explain why each assumption is necessary to appropriately interpret a significant correlation coefficient.
5. Explain how causality, outliers, and restriction of range can limit the interpretation of a significant correlation coefficient.
6. Compute and interpret the Spearman correlation coefficient and test for significance.
7. Compute and interpret the point-biserial correlation coefficient and test for significance.
8. Compute and interpret the phi correlation coefficient and test for significance.
9. Convert the value of r to a t statistic and χ² statistic.
10. Summarize the results of a correlation coefficient in APA format.
11. Compute the Pearson, Spearman, point-biserial, and phi correlation coefficients using SPSS.