Chris is employed by Silver Lake Resort in Orlando, Florida, and sells timeshares. The
following table shows the number of timeshare sales for Chris for each quarter over the
past three years.
The following dummy variables were created:
The regression results are shown in the table below.
The mean absolute deviation using this model is ________.
A) 0.27
B) 0.52
C) 1.89
D) 2.27
AT&T would like to investigate if brand of smartphone and income level are
independent variables. The following contingency table shows the number of customers
who own three brands of smartphones along with their income level.
The expected number of customers who own a Samsung smartphone and earn between
$50,000 and $100,000 is ________.
A) 10.0
B) 18.0
C) 31.5
D) 40.5
John’s commute time to work during the week follows the normal probability
distribution with a mean time of 26.7 minutes and a standard deviation of 5.1 minutes.
What is the probability that the commute time for a randomly selected day will be
between 28 and 34 minutes?
A) 0.1335
B) 0.2266
C) 0.3249
D) 0.4013
Consider the partially completed two-way ANOVA summary table.
The sum of squares for Factor B for this ANOVA procedure is _______.
A) 160
B) 300
C) 370
D) 400
As a concession manager for a local Little League Baseball organization, you are
responsible for ordering hot dogs for the upcoming weekend games. You can purchase
hot dogs for $0.75 each and sell them during the games for $2.50. Any unsold hot dogs
can be returned to the supplier for a $0.25 credit. If you purchase 600 hot dogs and sell
200 hot dogs over the weekend, the profit will be _______.
A) “$125
B) $150
C) $350
D) $700
An office building has four copier machines that require the administrative assistant to
replenish the paper supply when the paper bin is empty. It is believed that the need for
paper for a copier on any given day follows the binomial distribution with p = 0.50. The
following data represent the number of days that 0, 1, 2, 3, or 4 copiers needed paper
replenished from a random sample of 100 business days.
The degrees of freedom for the critical value is ________.
A) 3
B) 4
C) 5
D) 6
Sarah is the office manager for a group of financial advisors who provide financial
services for individual clients. She would like to investigate whether a relationship
exists between the number of presentations made to prospective clients in a month and
the number of new clients per month. The following table shows the number of
presentations and corresponding new clients for a random sample of six employees.
Sarah would like to use simple regression analysis to estimate the number of new
clients per month based on the number of presentations made by the employee per
month. Which one of the following statements describes the results of the hypothesis
test that the population slope is not equal to zero using α = 0.05?
A) Because the absolute value of the test statistic is less than the absolute value of the
critical value, we fail to reject the null hypothesis and cannot conclude that the
population slope is not equal to zero.
B) Because the absolute value of the test statistic is less than the absolute value of the
critical value, we can reject the null hypothesis and conclude that the population slope
is equal to zero.
C) Because the absolute value of the test statistic is greater than the absolute value of
the critical value, we can reject the null hypothesis and conclude that the population
slope is not equal to zero.
D) Because the absolute value of the test statistic is greater than the absolute value of
the critical value, we fail to reject the null hypothesis and conclude that the population
slope is equal to zero.
Suppose Apple would like to test the hypothesis that the standard deviation for the web
browsing battery life of the iPad equals 3.0 hours. The following data represents the
battery life, in hours, experienced by a random sample of six users.
Using α = 0.05, the lower critical value for this hypothesis test would be ________.
A) 0.831
B) 1.237
C) 12.833
D) 14.449
Consider the following data set:
Variable 1: 5 3 5 5 4 8
Variable 2: 3 1 1 4 2 1
The sample correlation coefficient for this data set is ______.
A) “0.74
B) “0.09
C) 0.38
D) 0.60
Use the following information to answer the question(s) below.
A home appraisal company would like to develop a regression model that would predict
the selling price of a house based on the age of the house in years (Age), the living area
of the house in square feet (Living Area) and the number of bedrooms (Bedrooms). The
following Excel output shows the partially completed regression output from a random
sample of homes that have recently sold.
Which one of the following statements is true concerning the 95% confidence interval
for the regression coefficient for the Living Area variable?
A) Because the confidence interval includes zero, we have evidence to conclude that
there is a relationship between the living area of a house and the selling price of the
house.
B) Because the confidence interval includes zero, we have evidence to conclude that
there is no relationship between the living area of a house and the selling price of the
house.
C) Because the confidence interval does not include zero, we have evidence to conclude
that there is a relationship between the living area of a house and the selling price of the
house.
D) Because the confidence interval does not include zero, we have evidence to
conclude that there is no relationship between the living area of a house and the selling
price of the house.
The sample ____________ measures the direction of the linear relationship between
two variables but does not measure the strength of the relationship.
A) variance
B) covariance
C) z-score
D) correlation coefficient
The MBA program at Dover College has an enrollment of 160 students with an average
age of 34.7 years old and a standard deviation 5.2 years. A random sample of 40 MBA
students was selected. What is the probability that the average age of the sample is less
than 34 years old?
A) 0.4443
B) 0.3300
C) 0.2946
D) 0.1635
Which of the following experiments does not generate a continuous random variable?
A) measuring the number of ounces of soda in a bottle
B) recording the number of minutes a customer waits on hold for technical support
C) counting the number of customers who enter a store during the business day
D) recording the number of miles traveled between two locations
Breyers is a major producer of ice cream and would like to test the hypothesis that the
average American consumes more than 17 ounces if ice cream per month. A random
sample of 15 Americans was found to consume an average of 18.2 ounces of ice cream
last month. The standard deviation for this sample was 3.9 ounces. Breyers would like
to set α = 0.10. The test statistic for this hypothesis test would be ________.
A) .
B) .
C) .
D) .
Expedia would like to test the hypothesis that the average roundtrip airfare between
Philadelphia and Paris is higher for a flight originating in Philadelphia when compared
to a flight originating in Paris. The following data summarizes the sample statistics for
roundtrip flights originating in both cities. Assume that the population variances are
equal.
If Population 1 is defined as flights originating in Philadelphia and Population 2 is
defined as flights originating in Paris, the pooled variance for this hypothesis test would
be ________.
A) 37,212.70
B) 41,772.89
C) 58,796.33
D) 64,293.75
The Canadian government would like to test the hypothesis that the standard deviation
for the hourly wage for men is equal to the standard deviation for the hourly wage for
women. The following data summarizes the sample statistics for hourly wages for men
and women.
Using α = 0.05, the critical value for this hypothesis test would be ________.
A) 1.906
B) 1.930
C) 1.947
D) 2.408
Chris is employed by Silver Lake Resort in Orlando, Florida, and sells timeshares. The
following table shows the number of timeshare sales for Chris for each quarter over the
past three years.
The four-period centered moving average for Period 7 is ________.
A) 11.5
B) 12.2
C) 12.7
D) 13.0
You have been assigned to test the hypothesis that the average number of hours per
week that an American works is higher than the average number of hours per week that
a Swede works. The following data summarizes the sample statistics for the number of
hours worked per week for workers in each country. Assume that the population
variances are unequal.
If Population 1 is defined as American workers and Population 2 is defined as Swedish
workers, and using α = 0.05, which one of the following statements is true?
A) Because the p-value is greater than α, you can conclude that the average number of
hours per week that an American works is higher than the average number of hours per
week that a Swede works.
B) Because the p-value is greater than α, you cannot conclude that the average number
of hours per week that an American works is higher than the average number of hours
per week that a Swede works.
C) Because the p-value is less than α, you can conclude that the average number of
hours per week that an American works is less than the average number of hours per
week that a Swede works.
D) Because the p-value is less than α, you can conclude that the average number of
hours per week that an American works is higher than the average number of hours per
week that a Swede works.
The table below shows the number of interceptions thrown during the season by seven
randomly selected National Football League teams and the number of games those
teams won during the season.
A) Calculate the Spearman rank-order correlation coefficient.
B) Using , perform a hypothesis test to determine if the population rank
correlation is less than zero.
There are 30 Major League Baseball teams in the National League. Five of these teams
will make the playoffs at the end of the season. The number of unique groups of teams
that can make the playoffs is ________.
A) 142,506
B) 252,640
C) 752,988
D) 17,100,720
Use the following information to answer the question(s) below.
A home appraisal company would like to develop a regression model that would predict
the selling price of a house based on the age of the house in years (Age), the living area
of the house in square feet (Living Area) and the number of bedrooms (Bedrooms). The
following Excel output shows the partially completed regression output from a random
sample of homes that have recently sold.
The degrees of freedom for the critical value to test the significance of the regression
coefficients using α = 0.05 are ________.
A) 11
B) 13
C) 14
D) 15
Suppose Burger King has run a major advertising campaign in the hopes of increasing
monthly sales. To investigate the effectiveness of this campaign, Burger King randomly
selected seven restaurants and recorded the monthly sales before and after the
advertising. The following data represents these sales figures in thousands of dollars.
If Population 1 is defined as sales after the advertising campaign and Population 2 is
defined as sales before the advertising campaign, the mean of the matched-pair
differences is ________.
A) 6.1
B) 7.0
C) 11.9
D) 13.2
A property of ________ data is that the differences between categories are not
meaningful and, therefore, cannot be measured.
A) cross-sectional
B) ordinal
C) interval
D) ratio
Progressive Insurance would like to test the hypothesis that a difference exists in the
proportion of students in 12th grade who text while driving when compared to the
proportion of 11th grade drivers who text. A random sample of 160 12th grade students
found that 84 texted while driving. A random sample of 175 11th grade students found
that 70 texted while driving. If Population 1 is defined as 12th grade drivers and
Population 2 is defined as 11th grade drivers, and using α = 0.05, the conclusion for this
hypothesis test would be that because the absolute value of the test statistic is
_____________________________________________________.
A) less than the absolute value of the critical value, Progressive Insurance cannot
conclude that a difference exists in the proportion of students in 12th grade who text
while driving when compared to the proportion of 11th grade drivers who text
B) less than the absolute value of the critical value, Progressive Insurance can conclude
that a difference exists in the proportion of students in 12th grade who text while driving
when compared to the proportion of 11th grade drivers who text
C) more than the absolute value of the critical value, Progressive Insurance cannot
conclude that a difference exists in the proportion of students in 12th grade who text
while driving when compared to the proportion of 11th grade drivers who text
D) more than the absolute value of the critical value, Progressive Insurance can
conclude that a difference exists in the proportion of students in 12th grade who text
while driving when compared to the proportion of 11th grade drivers who text
AutoTrader.com would like to estimate the number of years owners keep the cars that
they purchased as a new vehicle. The following data shows the age of seven vehicles
that were sold for the first time by their owners.
4 12 3 10 7 4 5
Using this sample, the 90% confidence interval that estimates the average age of cars
sold for the first time is ________.
A) (3.93, 8.93)
B) (5.14, 7.72)
C) (2.56, 10.30)
D) (1.27, 11.59)
As a concession manager for a local Little League Baseball organization, you are
responsible for ordering hot dogs for the upcoming weekend games. You can purchase
hot dogs for $0.75 each and sell them during the games for $2.50. Any unsold hot dogs
can be returned to the supplier for a $0.25 credit. If you purchase 200 hot dogs and
demand is 400 hot dogs over the weekend, the profit will be _______.
A) “$125
B) $150
C) $350
D) $700
Travelocity would like to test if the standard deviation for roundtrip airfares between
New York and London is less than $200. A random sample of 22 roundtrip airfares
between New York and London had a standard deviation of $142. Using α = 0.05, the
critical value for this hypothesis test would be ________.
A) 10.283
B) 11.591
C) 32.671
D) 33.924
Many franchisers favor owners who operate multiple stores by providing them with
preferential treatment. Suppose the Small Business Administration would like to
perform a hypothesis test to investigate if 80% of franchisees own only one location
using α = 0.05. A random sample of 120 franchisees found that 85 owned only one
store. The critical value for this hypothesis test would be ________.
A) 1.28
B) 1.645
C) 1.96
D) 2.33
Nintendo Sony would like to test the hypothesis that a difference exists in the average
age of users of a Wii, a PlayStation, or an Xbox console game. The following data
represent the age of a random sample of Wii, PlayStation, and Xbox users.
Using α = 0.05, the conclusion for this hypothesis test would be that because the test
statistic is ____________________________.
A) more than the critical value, we cannot conclude that there is a difference in the
average age of users of a Wii, a PlayStation, or an Xbox console game
B) less than the critical value, we cannot conclude that there is a difference in the
average age of users of a Wii, a PlayStation, or an Xbox console game
C) more than the critical value, we can conclude that there is a difference in the average
age of users of a Wii, a PlayStation, or an Xbox console game
D) less than the critical value, we can conclude that there is a difference in the average
age of users of a Wii, a PlayStation, or an Xbox console game
The federal government would like to estimate the proportion of families with no
savings. The total sample size needed to construct a 95% confidence interval for the
proportion of families with no savings with a margin of error equal to 6% is ________.
A) 138
B) 277
C) 318
D) 480
Costco sells paperback books in their retail stores and wanted to examine the
relationship between price and demand. The price of a particular novel was adjusted
each week and the weekly sales were recorded in the table below.
Management would like to test if the population Spearman rank-order correlation
coefficient is less than zero. The critical value for this test using α = 0.05 is
__________.
A) 0.600
B) 0.643
C) 0.829
D) 0.893
Use the following information to answer the question(s) below.
Ford would like to develop a regression model that would predict the number of cars
sold per month by a dealership employee based on the employee’s number of years of
sales experience (Exp), the employee’s weekly base salary before commissions (Salary),
and the education level of the employee. There are three levels of education in the sales
forcehigh school degree, associate’s degree, and bachelor’s degree. The following
dummy variables have been defined.
The following Excel output shows the partially completed regression output from a
random sample of employees from the previous month.
Which one of the following statements is true concerning the 95% confidence interval
for the regression coefficient for the Exp variable?
A) Because the confidence interval includes zero, we have evidence to conclude that
there is no relationship between the sales experience of the employee and the number of
cars sold per month.
B) Because the confidence interval includes zero, we have evidence to conclude that
there is a relationship between the sales experience of the employee and the number of
cars sold per month.
C) Because the confidence interval does not include zero, we have evidence to conclude
that there is a relationship between the sales experience of the employee and the
number of cars sold per month.
D) Because the confidence interval does not include zero, we have evidence to
conclude that there is no relationship between the sales experience of the employee and
the number of cars sold per month.
The following data represent the number of sweatshirts sold for each of the past six
days for Hoys Department Store at the beach in Avalon, New Jersey.
Using a three-period weighted moving average with weights 5, 2, and 1, the forecasting
error for Month 5 is ________.
A) 3.0
B) -1.0
C) 6.9
D) -4.4