Archives: Quiz

If n = 900 and Ï€ = â…“, the variance of this binomial distribution is ______. The percent that measures the change in price, quantity, value, or some other item of interest from one time period to another is called […]

A confidence interval becomes narrower when the sample size _________. In multiple regression analysis, a correlation matrix is used to check for ___________. Answer: multicollinearity Multicollinearity exists when independent variables are correlated. You can check for multicollinearity by computing all […]

If a trend equation is Ŷ = 15 + 75t, the periodic increase in the forecast is _____. As the sample size (n) increases, the spread or dispersion of the distribution of the sample means __________. Answer: decreases The dispersion […]

The American Auto Association reports that the mean price per gallon of regular gasoline is $3.10, with a population standard deviation of $0.20. Assume a random sample of 16 gasoline stations is selected and their mean cost for regular gasoline […]

Two movie reviewers gave their ratings (0 to 4 stars) to ten movies released this past month as follows: The rank order correlation is to be used. What is the rank order correlation? A test statistic for a hypothesis, H0: […]

Another name for the p-bar chart is the ______________. A _________ chart portrays the number of defects per unit of production. Answer: c-bar The population correlation coefficient is represented by ____. Answer: Ï Feedback: The population correlation coefficient is represented […]

__________________ examines the effect that changes in the probabilities for states of nature have on selecting an alternative or act. You have four different strategic business plans you can select to implement against your competitors. You estimate that the probability […]

When observing a checkout line at a food store, the average number of people served is 30 per hour. Using the Poisson distribution, what is the probability that no (zero) people check out in any given hour? For a binomial […]

A study by a bank compared the average savings of customers who were depositors for three years or less with those who had been depositors for more than three years. The results of a sample are: To test that the […]

A manufacturer of golf club shafts inspects 50 shafts every day. Over the last ten days, the number of defective shafts has been reported to be the following. What is the mean proportion of defective shafts? Ages (rounded to the […]

A __________ analysis is used to develop an equation that predicts an outcome based on two or more independent variables. A study conducted by a local tennis center revealed that 25 percent of its new members have novice level tennis […]

When independent samples are used to test for differences in the population means with equal but unknown population standard deviations, we _______ these sample standard deviations. The following stem-and-leaf display reports the number of boats shipped per week by Ottertail […]

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 the purchasing power of the dollar in 2010? The _______________ principle […]

A resort hotel performed a quarterly time series analysis for demands over the last five years (periods 1 through 20). The analysis resulted in the following trend equation and seasonal indexes: Ŷ = 1000 + 150t Based on the seasonal […]

Two movie reviewers gave their ratings (0 to 4 stars) to seven movies released this past month as follows: The Wilcoxon signed-rank test of difference is to be used. What is the larger sum of the ranks? For the following […]

For normally distributed random variables, the _________ makes probability statements based on specific values of the standard deviation. A manufacturer wants to increase the shelf life of a line of cake mixes. Past records indicate that the average shelf life […]

The F distribution is a ______________ distribution. The following is an example of a ___________________________. Answer: contingency table A contingency table summarizes the relationship between two nominal-level variables. Perfect correlation means that the scatter diagram will appear as a _____________. […]

A company’s human resources department was interested in the average number of years that a person works before retiring. The sample of size 11 follows: Based on the values of the arithmetic mean, median, and mode, what is the most […]

Product sales since 2001 are: The least squares trend equation is given as: Ŷ = 100 + 28t, where t is set equal to 1 for 2001. What were the predicted sales in 2006? A geometric mean is useful to […]

A study of 200 computer service firms revealed these incomes after taxes: What is the probability that a particular firm selected has $1 million or more in income after taxes? A. 0.00 B. 0.25 C. 0.49 D. 0.51 What is […]

Which of the following is NOT one of the six steps in the hypothesis testing procedure? A. Formulate a decision rule B. State the null and alternate hypotheses C. Select a level for β D. Identify the test statistic Bones […]

The manager of Paul’s fruit and vegetable store is considering the purchase of a new seedless watermelon from a wholesale distributor. Since this seedless watermelon costs $4, will sell for $7, and is highly perishable, he only expects to sell […]

The annual dividend rates for a random sample of 16 companies in three different industries, utilities, banking, and insurance were recorded. The ANOVA comparing the mean annual dividend rate among three industries rejected the null hypothesis that the dividend rates […]

If the variance of the “number of daily parking tickets issued is 100, the standard deviation is defined as the _____________. A. “Number of daily parking tickets” B. “Number of daily parking tickets” squared C. Absolute value of the variance […]

The manager of Paul’s fruit and vegetable store is considering the purchase of a new seedless watermelon from a wholesale distributor. Since this seedless watermelon costs $4, will sell for $7, and is highly perishable, he only expects to sell […]

The college of business was interested in comparing the interaction of academic status and class time on class attendance. Three different classes were sampled for each cell in the table. The means for each cell follow. What are the error […]

The mean annual incomes of certified welders are normally distributed with the mean of $50,000 and a standard deviation of $2,000. The ship building association wishes to find out whether their welders earn more or less than $50,000 annually. The […]

The regression equation is Ŷ = 29.29 – 0.96X, the sample size is 8, and the standard error of the slope is 0.22. What is the critical value to test the significance of the slope at the 0.01 significance level? […]

Data show that the weight of an offensive linesman may be any weight between 200 and 350 pounds. The distribution of weight is based on a ______________. A. continuous random variable B. discrete random variable C. qualitative variable D. All […]

Which probability distribution is used to develop a percent defective chart? A. Normal distribution B. Chi-square distribution C. Poisson distribution D. Binomial distribution Based on the Nielsen ratings, the local CBS affiliate claims its 11 p.m. newscast reaches 41% of […]

What can we conclude if the global test of regression rejects the null hypothesis? A. Strong correlations exist among the variables. B. No relationship exists between the dependent variable and any of the independent variables. C. At least one of […]

For a given set of 12 ranked data values, the sum of the squared differences is 63.18. What is the test statistic value to test the hypothesis that the rank correlation coefficient is zero? A. 0.221 B. 0.673 C. 0.779 […]

In a finance class, the final grade is based on three tests. Historically, the instructor tells the class that the joint probability of scoring “A”‘s on the first two tests is 0.5. A student assigns a probability of 0.9 that […]

A survey item asked students to indicate their class in college: freshman, sophomore, junior, or senior. Which measure(s) of central location would be appropriate for the data generated by that questionnaire item? A. Mean and median B. Mean and mode […]

Equipment failure would be an example of ____________ variation. A. chance B. external C. assignable D. standard The result of a particular experiment is called a(n) ___________. A. Observation B. Conditional probability C. Event D. Outcome Answer: D. By definition, […]

If a data set of 10 observations is used in a multiple regression analysis with 10 independent variables, then ____________. A. R2 will be equal to 1.0 B. The multiple standard error of the estimate will be 1.0 C. The […]

If the alternate hypothesis states that ≠4,000, where is the rejection region for the hypothesis test? A. In both tails B. In the lower or left tail C. In the upper or right tail D. In the center A […]

For a population that is not normally distributed, the distribution of the sample means will ________. A. Be negatively skewed B. Approach a normal distribution C. Be positively skewed D. Take the same shape as the population The following graph […]

A random sample of 40 companies with assets over $10 million was surveyed and asked to indicate their industry and annual computer technology expense. The ANOVA comparing the average computer technology expense among three industries rejected the null hypothesis. The […]

The trend forecast equation is Ŷ = 120 + 100t. The next forecast is for period 11. The typical seasonal index for period 11 is 0.82. What are the forecast sales for period 11? A. 1,100 B. 1,220 C. 1,000 […]

What is a normal distribution with a mean of 0 and a standard deviation of 1 called? A. Frequency distribution B. Z-score C. Standard normal distribution D. Binomial probability distribution Which of the following is NOT a characteristic of a […]

There are 10 AAA batteries in a box and 3 are defective. Two batteries are selected without replacement. What is the probability of selecting a defective battery followed by another defective battery? A. or 0.50 B. or 0.25 C. 1/120 […]

The manager of Paul’s fruit and vegetable store is considering the purchase of a new seedless watermelon from a wholesale distributor. Since this seedless watermelon costs $4, will sell for $7, and is highly perishable, he only expects to sell […]

Over the last six months, the following numbers of absences have been reported: 6, 0, 10, 14, 8, and 0. What is the median number of monthly absences? A. 6 B. 7 C. 8 D. 3 A binomial distribution has […]

A manufacturer of automobile transmissions uses three different processes. Management ordered a study of the production costs to see if there is a difference among the three processes. A summary of the findings is shown next. In an ANOVA table, […]

Refer to the following breakdown of responses to a survey of “Are you concerned about being tracked while connected to the Internet?” What type of chart should be used to show relative class frequencies? A. A pie chart B. A […]

For a normal distribution, what is the likelihood (expressed as a percentage) that a random variable is within plus and minus two standard deviations of the mean? A. 68.26% B. 99.74% C. 34.13% D. 95.44% The following partial ANOVA table […]

The national sales manager for “I colored this” (ICT) T-shirts provides all salespersons with the payoff table shown next, giving the estimated profit when a retailer purchases from one to four dozen T-shirts. The probability of demand for each state […]

A researcher is studying the relationship between 10 different variables and a critical measure of business performance. What method can be used to select the best set of variables to predict performance? A. Stepwise regression B. ANOVA C. Simple linear […]

Which of the following statements about causes of variation are TRUE? I. Assignable variation is random in nature and cannot be eliminated or reduced. II. Chance variation cannot be completely eliminated unless there are significant methods, techniques, or equipment used […]