The Laspeyres method uses the amounts consumed in the base period, q0, as weights to
determine a price index.
A scatter diagram of sales versus production may be constructed by plotting the
minimum, first quartile, median, third quartile, and maximum values of each variable.
The test statistic for the null hypothesis that the correlation among the ranks is equal to
zero is a chi-square statistic.
In hypothesis testing, the probability of a Type I error is also called the
_________________.
A decision maker usually has a choice among several possible alternative acts. For each
alternative act, there are many possible results called events.
A value index method computes a simple aggregate index.
If we are testing the difference between two population proportions, it is assumed that
the two populations are approximately normal and have equal variances.
The average number of passengers on commercial flights between Chicago and New
York City is an example of a statistic.
For a global test of a multiple regression equation, the F distribution is defined by the
regression and residual degrees of freedom.
How is a significance level determined and how is it related to Type I error?
Based on a sample of 3,000 people, the civilian unemployment rate in the United States
was 5.5%. 5.5% is referred to as a statistic.
What is the probability of making a Type II error if the null hypothesis is
actually TRUE?
A. α
B. 1
C. 0
D. 0.05
How many different samples of size 4 can be selected from a population of size 8?
A. 8
B. 32
C. 70
D. 1680
Refer to the following breakdown of responses to a survey of “How confident are you
that you saved enough to retire?”
What type of chart should be used to show relative class frequencies?
A. A pie chart
B. A bar chart
C. A histogram
D. A frequency polygon
Your height and weight are examples of which level of measurement?
A. Nominal
B. Ordinal
C. Interval
D. Ratio
What is the process that insures that a company is producing a quality product or
service?
A. Six Sigma
B. Pareto analysis
C. Fishbone chart analysis
D. Diagnostic chart
The standard normal probability distribution is unique because it has _________.
A. A mean of 1 and any standard deviation
B. Any mean and a standard deviation of 1
C. A mean of 0 and any standard deviation
D. A mean of 0 and a standard deviation of 1
In an illustration of a normal probability distribution, a shaded area represents _______.
A. A permutation
B. A combination
C. A probability
D. A standard deviation
Fifty-five voters from a sample of 80 indicated that they favored casino gambling in
their city. The city council is interested in finding out whether or not there is a
significant difference between the proportions of those favoring and not favoring casino
gambling in their community.
σ in this scenario is ______.
A. 8.94
B. 3.42
C. 4.47
D. 7.42
A group of statistics students decided to conduct a survey at their university to find the
average (mean) amount of time students spent studying per week. Assuming a
population standard deviation of six hours, what is the required sample size if the error
should be less than a half hour with a 95% level of confidence?
A. 554
B. 130
C. 35
D. 393
Given the trend equation, Ŷ = 25 + 0.6t (base year = 2006), what would be the forecast
value for 2010?
A. 25
B. 28
C. 30
D. 32
In a two-way ANOVA, a blocking variable is used to _________________.
A. increase the error sum of squares
B. decrease the error sum of squares
C. increase the treatment sum of squares
D. decrease the treatment sum of squares
The U.S. Federal Aviation Administration reported that passenger revenues on
international flights increased from $528 million in 1986 to $5,100 million in 2009.
What is the geometric mean annual percent increase in international passenger
revenues?
A. 10.4
B. 27.9
C. 103.6
D. 9.96
The net incomes (in $millions) of a sample of steel fabricators are $86, $67, $86, and
$85. What is the modal net income?
A. $67
B. $85
C. $85.5
D. $86
The following linear trend equation was developed for the annual sales of the Jordan
Manufacturing Company. Ŷ = 500 + 60t (in $thousands). At what rate are sales
increasing?
A. $60,000 per year
B. $6,000 per month
C. $500,000 per year
D. $6,000 per year
For a five-year moving average, how many values will be lost at the beginning and end
of the time series?
A. Zero at the start and four at the end
B. Three at the start and three at the end
C. Two at the start and two at the end
D. Zero at the start and five at the end
Cappelli Inc. designs and manufactures women’s apparel using material from various
mills. Their acceptance sampling plan states that 20 two-inch squares of the incoming
material must be carefully checked. If 3 or less squares reveal imperfections, the lot is
accepted. What is the probability that an incoming lot from Blufton Mills that contains
40 percent imperfect cloth will be accepted?
A. 0
B. 0.239
C. 0.015
D. 0.0024
In decision theory, an uncertain future outcome is called a ____________________.
Suppose your annual 2005 salary was $95,000 and your 2010 salary was $125,000.
Assume the annual CPI rose from 177.1 to 215.9 during this period of time. What was
your real income in 2005?
If the mean of a distribution is smaller than the median and mode, the sign of Pearson’s
coefficient of skewness is ______________.
In terms of a weighted index, what alternatives to weighting are available?
In the exponential distribution, the mean and standard deviation are equal to
______________.
If we are testing for the difference between two population proportions, it is assumed
that the two populations follow the ________________ distribution.