When an insurance company is going to write a new homeowner policy one concern i

When an insurance company is going to write a new homeowner policy one concern is the distance between the house and thenearest fire department station. This is one factor that goes in todetermining the cost of the insurance for the home owner. ETBInsurance Company wants to determine if there is a relationshipbetween the distance to a fire station and the amount of firedamage to a house. A random sample of 50 claims was selected foranalysis. The correlation coefficient was 0.78. Which is thecorrect interpretation and recommendation?