exam 5 stats payment

1. All of the following are examples of measures of dispersion except

________. (Points : 2)

range

variance

standard deviation

mode

Question 2. 2. The condition of improper data yielding misleading results is referred to as (Points : 2)

garbage in, garbage out.

break-even point.

uncontrollable variable.

postoptimality.

Question 3. 3. Data that are routinely collected by accounting, marketing and operations functions of a business are called ________. (Points : 2)

nominal data

external data

internal data

ordinal data

Question 4. 4. The ________ is used to compare the variability of two or more data sets with different scales. (Points : 2)

coefficient of variation

variance

median

coefficient of skewness

Question 5. 5. A metric that is derived from counting something is called a(n) ________ metric. (Points : 2)

continuous

nominal

discrete

ordinal

Question 6. 6. Numerical values associated with a metric are called ________. (Points : 2)

data

measures

population

regressors

Question 7. 7. An example of interval data would be ________. (Points : 2)

classifying customers by geographical region

rating a movie as bad, good, or excellent

ranking potential employees by SAT scores

comparing retail stores by number of units sold

Question 8. 8. The population mean is represented by ________. (Points : 2)

?

?

?

?

Question 9. 9. At a university with 1,000 business majors, there are 200 business students enrolled in an introductory statistics course. Of these 200 students, 50 are also enrolled in an introductory accounting course. There are an additional 250 business students enrolled in accounting but not enrolled in statistics. If a business student is selected at random, what is the probability that the student is enrolled in statistics? (Points : 2)

0.05

0.20

0.25

0.30

Question 10. 10. A production process is known to produce a particular item in such a way that 5 % of these are defective. If two items are randomly selected as they come off the production line, what is the probability that the second item will be defective? (Points : 2)

0.05

0.005

0.18

0.20

Question 11. 11. If two events are mutually exclusive, then (Points : 2)

their probabilities can be added.

the joint probability is equal to 0.

if one occurs, the other cannot occur.

All of the above

Question 12. 12. The number of cell phone minutes used by high school seniors follows a normal distribution with a mean of 500 and a standard deviation of 50. What is the probability that a student uses fewer than 400 minutes? (Points : 2)

0

0.023

0.159

0.977

Question 13. 13. At a university with 1,000 business majors, there are 200 business students enrolled in an introductory statistics course. Of these 200 students, 50 are also enrolled in an introductory accounting course. There are an additional 250 business students enrolled in accounting but not enrolled in statistics. If a business student is selected at random and found to be enrolled in statistics, what is the probability that the student is also enrolled in accounting? (Points : 2)

0.05

0.30

0.20

0.25

Question 14. 14. The time required to travel downtown at 10 a.m. on Monday morning is known to be normally distributed with a mean of 40 minutes and a standard deviation of 5 minutes. What is the probability that it will take less than 40 minutes? (Points : 2)

0.50

0.20

0.80

1.00

Question 15. 15. Suppose that 10 golfers enter a tournament and that their respective skill levels are approximately the same. Six of the entrants are female and two of those are older than 40 years old. Three of the men are older than 40 years old. What is the probability that the winner will be either female or older than 40 years old? (Points : 2)

0.000

0.198

0.200

0.900

Question 16. 16. Properties of the normal distribution include (Points : 2)

a continuous bell-shaped distribution.

a discrete probability distribution.

the number of trials is known and is either 1, 2, 3, 4, 5, etc.

the random variable can assume only a finite or limited set of values.

Question 17. 17. Given that a sample of size 12 was taken from a finite population of 60 with a population standard deviation of 1.8, what would be the margin of error at a 95% level of confidence? (Points : 2)

±1.018

±0.9186

±12.22

±0.4452

Question 18. 18. The two most commonly used types of estimates in statistics are ________. (Points : 2)

cluster intervals and standard estimates

unbiased estimator and standard distribution

point estimates and confidence intervals

sampling estimates and central limit interval

Question 19. 19. All of the following are reasons why random sampling is important for statistical applications except ________. (Points : 2)

the outcomes are more readily understood and therefore really usable

solving using mathematics alone may be very difficult if not impossible

the outcome variables are complicated functions of several input random variables

sampling experiments can be used to better understand important statistics theories

Question 20. 20. Systematic sampling ________. (Points : 2)

is the same as simple random sampling

ensures each item has an equal chance of selection

is difficult to use because a machine is required to select each sample

selects items periodically from the population

Question 21. 21. Peak Previously Played Picks buys and sells used sports equipment. For the past year, the mean purchase of used sports equipment was $36 with a standard deviation of $8. Find the probability that the mean purchase from a sample of 16 customers will be less than $20. Use the Microsoft Excel function NORM.DIST. (Points : 2)

0.00%

100.0%

2.28%

69.13%

Question 22. 22. Regarding the standard error of the mean, ________. (Points : 2)

as the sample size increases, the standard error increases

as the sample size decreases, the standard error decreases

as the sample size increases, the standard error decreases

it is defined as one-half of the population standard deviation

Question 23. 23. If the difference between the means of paired samples is found to be zero, this would mean that ________. (Points : 2)

the means need to be adjusted with the population correction factor

the margin of error is high

there is no bias involved in the sample

the confidence interval needs to be changed

Question 24. 24. As the level of confidence decreases, ________. (Points : 2)

the confidence interval becomes wider

the confidence interval is unchanged

the confidence interval becomes irrelevant

the confidence interval becomes more narrow

Question 25. 25. If the confidence coefficient is 0.9, ________. (Points : 2)

we expect that 9 samples out of 100 will support the null hypothesis

we expect that 90 out of 100 samples will support the null hypothesis

we expect that 10 samples out of 100 will support the null hypothesis

we expect that all 100 samples will support the null hypothesis

Question 26. 26. Two-tailed tests ________. (Points : 2)

have only lower critical values

have only upper critical values

have both upper and lower critical values

do not have any critical values

Question 27. 27. A one-tailed test is employed when the null hypothesis ________. (Points : 2)

is structured as ?

specifies a direction of relationship

is structured as "="

falls in the upper tail of the distribution

Question 28. 28. Hypothesis testing can result in ________ different outcomes. (Points : 2)

three

two

five

four

Question 29. 29. If the null hypothesis is false, it is more likely that the test statistic will ________. (Points : 2)

fall into the nonrejection region

not follow the uniform distribution

fall into the rejection region

not follow the normal distribution

Question 30. 30. A helpful analogy of hypothesis testing might be the concept of ________. (Points : 2)

the U.S. legal system-innocent until proven guilty

better safe than sorry.

the theory of relativity

the central limit theorem

Question 31. 31. Which of the following is not an appropriate alternative hypothesis for the null hypothesis, H0: mean production cost = $2.00? (Points : 2)

H1: mean production cost > $2.00

H1: mean production costs < $2.00

H1: mean production costs = $2.00

H1: mean production costs ? $2.00

Question 32. 32.

Use the information below to answer the question.

The following table provides data on a sample of customers who visited a local restaurant. The restaurant owner believes that the average profit per customer exceeds $25.

36.73

35.50

25.92

38.36

41.65

25.50

18.78

19.78

33.14

22.22

20.85

26.23

22.13

32.33

28.46

34.15

34.72

24.21

24.20

28.95

21.84

19.74

20.75

Which of the following is the test statistic? (Points : 2)

1.717

-1.867

1.867

-1.826

Question 33. 33. In the construction of decision trees, which of the following shapes represents a state of nature node? (Points : 2)

square

circle

diamond

triangle

Question 34. 34. In the construction of decision trees, which of the following shapes represents a decision node? (Points : 2)

square

circle

diamond

triangle

Question 35. 35. A market research study is being conducted to determine if a product modification will be well received by the public. A total of 1,000 consumers are questioned regarding this product.

The table below provides information regarding this sample.

Positive

Reaction

Neutral

Reaction

Negative

Reaction

Male

240

60

100

Female

260

220

120

What is the probability that a randomly selected person would be a female who had a positive reaction? (Points : 2)

0.250

0.260

0.455

0.840

Question 36. 36. The probability that a typical tomato seed will germinate is 60%. A seed company has developed a hybrid tomato that they claim has an 85% probability of germination. If a gardener plants the new hybrid tomato in batches of 12, what is the probability that 10 or more seeds will germinate in a batch? (Points : 2)

0.064

0.083

0.264

0.736

Question 37. 37. Historical data indicates that only 20% of cable customers are willing to switch companies. If a binomial process is assumed, then in a sample of 20 cable customers, what is the probability that no more than 3 customers would be willing to switch their cable? (Points : 2)

0.85

0.15

0.20

0.411

Question 38. 38. Lock combinations are made using 3 digits followed by 2 letters. How many different lock combinations can be made if repetition of digits is allowed? (Points : 2)

6

260

6,760

676,000

Question 39. 39. In 2012 the stock market took some big swings up and down. One thousand investors were asked how often they tracked their investments. The table below shows their responses. What is the probability that an investor tracks the portfolio weekly?

How often tracked?

Response

Daily

235

Weekly

278

Monthly

292

Few times a year

136

Do not track

59

(Points : 2)

0.235

0.278

0.513

0.722

Question 40. 40. In hypothesis testing, the null and the alternative hypotheses are ________. (Points : 2)

not mutually exclusive

mutually exclusive

always false

always true

Question 41. 41. If we fail to reject the null hypothesis, ________. (Points : 2)

we have found evidence to support the alternative hypothesis

the null hypothesis is proved to be true

we have only failed to find evidence to support the alternative hypothesis

the hypothesis test is inconclusive

Question 42. 42. The probability of a Type I error can be specified by the investigator. The probability of a Type II error is ________. (Points : 2)

one minus the probability of Type I error

the result of the hypothesis test itself

also specified by the investigator

not specified by the investigator but computed using the power of the test

Question 43. 43. A major consumer products company wants to measure the type and quantity of laundry detergent used by consumers. After choosing a suburban street at random, employees go door-to-door to every fifth house to ask for permission to view their laundry detergent supply. What sampling method is being used for this sampling plan? (Points : 2)

simple random sampling

systematic sampling

continuous sampling

subjective sampling

Question 44. 44. A major consumer products company wants to measure the quality of the packaging of their products on the store shelves. Five large cities are chosen in different parts of the country. What sampling method is being used for this sampling plan? (Points : 2)

simple random sampling

continuous sampling

subjective sampling

stratified sampling

Question 45. 45. All of the following are true about the sampling distribution of the mean except ________. (Points : 2)

the population standard deviation can be determined when a large sample size is used

the standard deviation of this distribution is called the standard error of the mean

when larger sample sizes are used for this distribution, the sampling error is less

this distribution approaches the normal distribution if the sample size is large enough

Question 46. 46. Find the standard error of the mean when the population standard deviation is 4.1 and a sample of size 30 is taken. (Points : 2)

7.32

0.08

1.34

0.75

Question 47. 47. Expected monetary value (EMV) is (Points : 2)

the average or expected monetary outcome of a decision if it can be repeated a large number of times.

the average or expected value of the decision, if you know what would happen ahead of time.

the average or expected value of information if it were completely accurate.

the amount you would lose by not picking the best alternative.

Question 48. 48. Which of the following is true about the expected value of perfect information? (Points : 2)

It is the amount you would pay for any sample study.

It is calculated as EMV minus EOL.

It is calculated as expected value with perfect information minus maximum EMV.

It is the amount charged for marketing research.

Question 49. 49. The expected value of sample information (EVSI) can be used to (Points : 2)

establish a maximum amount to spend on additional information.

calculate conditional probabilities.

establish risk avoidance.

provide points on a utility curve.

Question 50. 50. When conducting a test of hypothesis, if we elect to use alpha (a) of .05 and the results of our analysis indicate that the null hypothesis should be rejected, which of the following is true? (Points : 2)

the p-value is greater than .05

the p-value is less than .05

the p-value is greater than +1.96

the p-value is less than -1.96