A time series with forecast values and error terms is presented in the following table.
The mean error (ME) for this forecast is ___________.
a) 1.67
b) 1.34
c) 6.68
d) 3.67
e) 2.87
A researcher is conducting a matched”pairs study. She gathers data on each pair in the
study resulting in:
Assume that the data are normally distributed in the population. The level of
significance is selected to be 0.10. If a two-tailed test is performed, the null hypothesis
would be rejected if the observed value of tis _______.
a) less than -1.533 or greater than 1.533
b) less than -2.132 or greater than 2.132
c) less than -2.776 or greater than 2.776
d) less than -1.860 or greater than 1.860
e) less than -2.000 or greater than 2.000
A researcher is conducting a matched”pairs study. She gathers data on each pair in the
study resulting in:
Assume that the data are normally distributed in the population. The degrees of freedom
in this problem are _______.
a) 4
b) 8
c) 5
d) 9
e) 3
Let xbe a binomial random variable withn=50 andp=.3. The probability of less than or
equal to13 successes, when using the normal approximation for binomial is ____
____
a) -.6172
b) .3086
c) 3.240
c) .2324
d) .2676
e) -.23224
According to the following Pareto chart, the Pareto principle would suggest a quality
improvement team focus their efforts on which of the following complaints?
a)
user interface only
b) user interface and speaker quality
c) user interface, speaker quality and camera
d) speaker quality and camera
e) all of the complaints should be a focus
Financial analyst Larry Potts needs a sample of 100 securities listed on the New York
Stock Exchange. In the current issue of the Wall Street Journal, 2,531 securities are
listed in the “New York Exchange Composite Transactions,” an alphabetical listing of
all securities traded on the previous business day. Larry randomly selects the 7th
security as a starting point, and selects every 25th security thereafter (7, 32, 57, etc.).
His sample is a ____________.
a) quota sample
b) simple random sample
c) stratified sample
d) systematic sample
e) cluster sample
Melissa Rossi, Product Manager at National Consumers, Inc. (NCI), is evaluating
alternatives for introducing a new package for toothpaste. She has identified four
alternative markets, and has constructed the following table which shows NCI’s rewards
(in $1,000,000’s) for various levels of acceptance by the markets and their probabilities.
The expected monetary payoff with perfect information is ________.
a) $570,000
b) $680,000
c) $760,000
d) $830,000
e) $980,000
A plot of the sample ranges over regular time intervals is called a(n) _______.
a) chart
b) R chart
c) p chart
d) c chart
e) S chart
How much inventory do Christmas tree sales lots keep? A researcher goes from location
to location around the city counting the number of trees in each lot. These numbers
most likely represent what level of data?
a) Interval level
b) Ordinal level
c) Nominal level
d) Ratio level
e) Relative level
Abby Kratz, a market specialist at the market research firm of Saez, Sikes, and Spitz, is
analyzing household budget data collected by her firm. Abby’s dependent variable is
weekly household expenditures on groceries (in $’s), and her independent variables are
annual household income (in $1,000’s) and household neighborhood (0 = suburban, 1 =
rural). Regression analysis of the data yielded the following table.
For a suburban household with $90,000 annual income, Abby’s model predicts weekly
grocery expenditure of ________________.
a) $156.19
b) $224.98
c) $444.62
d) $141.36
e) $175.86
A large industrial firm allows a discount on any invoice that is paid within 30 days. Of
all invoices, 10% receive the discount. In a company audit, 15 invoices are sampled at
random. The mean (average) value of the number of the 15 sampled invoices that
receive discount is _______
a) 1
b) 3
c) 1.5
d) 2
e) 10
Sam Hill, Director of Media Research, is analyzing subscribers to the
TravelWorldmagazine. He wonders whether subscriptions are influenced by the head of
household’s highest degree earned. His staff prepared the following contingency table
from a random sample of 300 households.
The observed value of chi-square is ______________.
a) 5.99
b) 28.30
c) 32.35
d) 60.65
e) 50.78
The number of different committees of 2 students that can be chosen from a group of 5
students is
a) 20
b) 2
c) 5
d) 10
e) 1
Miguel Hernandez , Senior Vice President of Human Resources at Memorial Hospital,
is exploring the usage of nursing over-time hours in the emergency department during
the last operating year (January 1, 2012 through December 31, 2012). Miguel intends to
survey the emergency department nurses regarding their perception of over-time needs.
For this survey y the set of all emergency department nurses who worked at Memorial
Hospital during the last operating year is _________.
a) a parameter
b) a sample
c) the population
d) a statistic
e) the frame
Suppose a population has a mean of 870 and a variance of 1,600. If a random sample of
size 64 is drawn from the population, the probability that the sample mean is between
860 and 875 is _______.
a) 0.9544
b) 0.6826
c) 0.8785
d) 0.5899
e) 0.8185
The following box and whisker plot was constructed for the age of accounts receivable.
The box and whisker plot reveals that the accounts receivable ages are _______.
a) skewed to the left
b) skewed to the right
c) not skewed
d) normally distributed
e) symmetrical
The Spearman correlation coefficient is calculated for a set of data on two variables,
xand y. It appears that as the rank of xincreases, the rank of yis decreasing. We would
expect the Spearman correlation coefficient to be ________.
a) equal to zero
b) positive
c) negative
d) greater than 5
e) greater than 1
The local swim team is considering offering a new semi-private class aimed at
entry-level swimmers, but needs at minimum number of swimmers to sign up in order
to be cost effective. Last year’s data showed that during 8 swim sessions the average
number of entry-level swimmers attending was 15. Suppose the instructor wants to
conduct a hypothesis test. The alternative hypothesis for this hypothesis test is: “the
population mean is less than 15″. The sample size is 8, is known, and alpha =.05, the
critical value of zis _______.
a) 1.645
b) -1.645
c) 1.96
d) -1.96
e) 2.05
A manager wishes to predict the annual cost (y) of an automobile based on the number
of miles (x) driven. The following model was developed: y = 2,000 + 0.42x.
If a car is driven 15,000 miles, the predicted cost is ____________.
a) 2,090
b) 17,000
c) 8,400
d) 8,300
e) 6,300
Albert Abbasi, VP of Operations at Ingleside International Bank, is evaluating the
service level provided to walk-in customers. Accordingly, he plans a sample of waiting
times for walk-in customers. Albert randomly selects 4 as a starting point and instructs
his staff to record the waiting times for the 4th walk-in customer and every 10th
customer thereafter (4, 14, 24, etc.). Albert’s sample is a ________.
a) simple random sample
b) cluster sample
c) convenience sample
d) stratified sample
e) systematic sample
Sue Taylor, Director of Global Industrial Sales, is concerned by a deteriorating sales
trend.
Specifically, the number of customers is stable at 1,500, but they are purchasing less
each year.
She orders her staff to search for causes of the downward trend by selecting a focus
group of 40 industrial customers. Sue is ordering a __________.
a) statistic from the industrial customers
b) census of the industrial customers
c) sample of the industrial customers
d) sorting of the industrial customers
e) parameter of the industrial customers
The following ANOVA table is from a multiple regression analysis with n = 35 and four
independent variables.
The R2 value is __________.
a) 0.80
b) 0.70
c) 0.66
d) 0.76
e) 0.30
A large national company is considering negotiating cellular phone rates for its
employees. The Human Resource department would like to estimate the proportion of
its employee population who own an Apple iPhone. A random sample of size 250 is
taken and 40% of the sample own and iPhone.. The 95% confidence interval to estimate
the population proportion is _______.
a) 0.35 to 0.45
b) 0.34 to 0.46
c) 0.37 to 0.43
d) 0.39 to 0.41
e) 0.40 to 0.42
The volume of liquid in an unopened 1-gallon can of paint is an example of _________.
a) the binomial distribution
b) both discrete and continuous variable
c) a continuous random variable
d) a discrete random variable
e) a constant
In a two-tailed hypothesis about a population mean with a sample size of 100, is
known, and α= 0.05, the rejection region would be _______.
a) z> 1.64
b) z> 1.96
c) z< -1.96 and z> 1.96
d) z< -1.64 and z> 1.64
e) z < -2.33 and z > 2.33
A university administrator believes that business students are more likely to be working
and going to school than their liberal arts majors. This information may lead to the
business school offering courses in the evening hours while the liberal arts college
maintains a daytime schedule. To test this theory the proportion of business students
who are working at least 20 hours per week is compared to the proportion of liberal arts
students who are working at least 20 hours per week. . A random sample of 600 from
the business school has been taken and it is determined that 480 students work at least
20 hours per week. A random sample of 700 liberal arts students showed that 350 work
at least 20 hours per week. The observed zfor this is _______.
a) 0.300
b) 0.624
c) 0.638
d) 11.22
e) 13.42
A cost accountant is developing a regression model to predict the total cost of
producing a batch of printed circuit boards as a linear function of batch size (the
number of boards produced in one lot or batch), production plant (Kingsland, and
Yorktown), and production shift (day, and evening). In this model, “batch size” is
______.
a) a response variable
b) an indicator variable
c) a dependent variable
d) a qualitative variable
e) an independent variable
A real estate appraiser is developing a regression model to predict the market value of
single family residential houses as a function of heated area, number of bedrooms,
number of bathrooms, age of the house, and central heating (yes, no). The response
variable in this model is _______.
a) heated area
b) number of bedrooms
c) market value
d) central heating
e) residential houses
Dan Hein owns the mineral and drilling rights to a 1,000 acre tract of land. If he drills a
well and does not strike oil his net loss will be $50,000, but if he drills a well and
strikes oil his net gain will be $100,000. If he does not drill, his loss is the cost of the
mineral and drilling rights, which amount to $1000. For Dan’s decision problem, the
variable “oil in the tract” is one of the ___________.
a) payoffs
b) decision alternatives
c) states of nature
d) revised probabilities
e) prior probabilities
A large industrial firm allows a discount on any invoice that is paid within 30 days. Of
all invoices, 10% receive the discount. In a company audit, 10 invoices are sampled at
random. The probability that fewer than 3 of the 10 sampled invoices receive the
discount is approximately_______________.
a) 0.1937
b) 0.057
c) 0.001
d) 0.3486
e) 0.9298
A market research analyst has asked consumers to rate the appearance of a new package
on a scale of 1 to 5. A 1 means that the appearance is awful while a 5 means that it is
excellent. The measurement level of this data is _______.
a) interval level data
b) ordinal level data
c) nominal level data
d) ratio level data
e) relative level data
The proportion of variability of the dependent variable accounted for or explained by
the independent variable is called the _______.
a) sum of squares error
b) coefficient of correlation
c) coefficient of determination
d) covariance
e) regression sum of squares
Melissa Rossi, Product Manager at National Consumers, Inc. (NCI), is evaluating
alternatives for introducing a new package for toothpaste. She has identified four
alternative markets, and has constructed the following table which shows NCI’s rewards
(in $1,000,000’s) for various levels of acceptance by the markets and their probabilities.
The EMV of introducing the new package in the “National” market is ________.
a) $50,000
b) $70,000
c) $90,000
d) $260,000
e) $300,000