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Practice Test 1

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You are on page 1of 14

Directions: For each question find the answer that is the best solution provided. There is only one

correct answer.

1. Facts and figures that are collected, analyzed and summarized for presentation and

interpretation are

a. data

b. variables

c. elements

d. Both variables and elements are correct.

A!"#$% a

&. All the data collected in a particular study are referred to as the

a. census

b. inference

c. variable

d. data set

A!"#$% d

'. (uantitative data

a. are always nonnumeric

b. may be either numeric or nonnumeric

c. are always numeric

d. are always labels

A!"#$% c

). (ualitative data

a. are always nonnumeric

b. may be either numeric or nonnumeric

c. are always numeric

d. indicate either how much or how many

A!"#$% b

*. Arithmetic operations are inappropriate for

a. qualitative data

b. quantitative data

c. both qualitative and quantitative data

d. large data sets

A!"#$% a

+. ,n a questionnaire, respondents are as-ed to record their age in years. Age is an e.ample of a

a. qualitative variable

b. quantitative variable

c. qualitative or quantitative variable, depending on how the respondents answered the

question

d. ratio variable

A!"#$% b

1

/. ,n an application for a credit card, potential customers are as-ed for their social security numbers.

A social security number is an e.ample of a

a. qualitative variable

b. quantitative variable

c. qualitative or quantitative variable, depending on how the respondents answered the

question

d. ratio variable

A!"#$% a

0. 1ata collected at the same, or appro.imately the same, point in time are

a. time series data

b. appro.imate time series data

c. cross2sectional data

d. appro.imate data

A!"#$% c

3. 1ata collected over several time periods are

a. time series data

b. time controlled data

c. cross2sectional data

d. time cross2sectional data

A!"#$% a

14. !tatistical studies in which researchers do not control variables of interest are

a. e.perimental studies

b. uncontrolled e.perimental studies

c. not of any value

d. observational studies

A!"#$% d

11. !tatistical studies in which researchers control variables of interest are

a. e.perimental studies

b. control observational studies

c. non e.perimental studies

d. observational studies

A!"#$% a

1&. A frequency distribution is

a. a tabular summary of a set of data showing the fraction of items in each of several

nonoverlapping classes

b. a graphical form of representing data

c. a tabular summary of a set of data showing the number of items in each of several

nonoverlapping classes

d. a graphical device for presenting qualitative data

A!"#$% c

2

1'. The sum of frequencies for all classes will always equal

a. 1

b. the number of elements in a data set

c. the number of classes

d. a value between 4 and 1

A!"#$% b

Exhibit 2-1

The numbers of hours worked (per week) b !00 statistics students are shown be"ow#

umber of hours Frequency

4 2 3 &4

14 2 13 04

&4 2 &3 &44

'4 2 '3 144

1). $efer to #.hibit &21. The class width for this distribution

a. is 3

b. is 14

c. is '3, which is% the largest value minus the smallest value or '3 2 4 5 '3

d. varies from class to class

A$%&'(: b

1*. $efer to #.hibit &21. The midpoint of the last class is

a. *4

b. ')

c. '*

d. ').*

A$%&'(: d

1+. $efer to #.hibit &21. The number of students wor-ing 13 hours or less

a. is 04

b. is 144

c. is 104

d. is '44

A$%&'(: b

1/. $efer to #.hibit &21. The relative frequency of students wor-ing 3 hours or less

a. is &4

b. is 144

c. is 4.3*

d. 4.4*

A!"#$% d

3

10. $efer to #.hibit &21. The cumulative relative frequency for the class of &4 2 &3

a. is '44

b. is 4.&*

c. is 4./*

d. is 4.*

A!"#$% c

13. A graphical device for presenting qualitative data summaries based on subdivision of a circle into

sectors that correspond to the relative frequency for each class is a

a. histogram

b. stem2and2leaf display

c. pie chart

d. bar graph

A!"#$% c

&4. (ualitative data can be graphically represented by using a6n7

a. histogram

b. frequency polygon

c. ogive

d. bar graph

A!"#$% d

&1. The mean of a sample is

a. always equal to the mean of the population

b. always smaller than the mean of the population

c. computed by summing the data values and dividing the sum by 6n 2 17

d. computed by summing all the data values and dividing the sum by the number of items

A!"#$% d

&&. After the data has been arranged from smallest value to largest value, the value in the middle is

called the

a. range

b. median

c. mean

d. one of the other answers are correct.

A!"#$% b

&'. The /*th percentile is also the

a. first quartile

b. second quartile

c. third quartile

d. fourth quartile

A!"#$% c

4

&). "hich of the following is 8T a measure of location9

a. mean

b. median

c. variance

d. mode

A!"#$% c

&*. The measure of location that is the most li-ely to be influenced by e.treme values in the data set

is the

a. range

b. median

c. mode

d. mean

A!"#$% d

&+. The difference between the largest and the smallest data values is the

a. variance

b. interquartile range

c. range

d. coefficient of variation

A!"#$% c

&/. The variance of the sample

a. can never be negative

b. can be negative

c. cannot be zero

d. cannot be less than one

A!"#$% a

&0. The variance of a sample of 01 observations equals +). The standard deviation of the sample

equals

a. 4

b. )43+

c. 0

d. +,*+1

A!"#$% c

&3. "hich of the following symbols represents the size of the sample

a.

&

b.

c.

d. n

A!"#$% d

'4. "hich of the following symbols represents the mean of the sample9

a.

&

b.

c.

d. .

A!"#$% d

5

')hibit 3*2

A researcher has collected the following sample data. The mean of the sample is *.

' * 1& ' &

'1. $efer to #.hibit '2&. The variance is

a. 04

b. ).4+&

c. 1'.&

d. 1+.*

+$%&'(: d

'&. $efer to #.hibit '2&. The standard deviation is

a. 0.3))

b. ).4+&

c. 1'.&

d. 1+.*

+$%&'(: b

''. For any continuous random variable, the probability that the random variable ta-es on e.actly a

specific value is

a. 1.44

b. 4.*4

c. any value between 4 to 1

d. zero

A!"#$% d

'). The highest point of a normal curve occurs at

a. one standard deviation to the right of the mean

b. two standard deviations to the right of the mean

c. appro.imately three standard deviations to the right of the mean

d. the mean

A!"#$% d

'*. A standard normal distribution is a normal distribution with

a. a mean of 1 and a standard deviation of 4

b. a mean of 4 and a standard deviation of 1

c. any mean and a standard deviation of 1

d. any mean and any standard deviation

A!"#$% b

'+. Z is a standard normal random variable. The :61.&4 z 1.0*7 equals

a. 4.)+/0

b. 4.'0)3

c. 4.0*&/

d. 4.40&3

6

A!"#$% d

'/. Z is a standard normal random variable. The :61.4* ; z ; &.1'7 equals

a. 4.0'+*

b. 4.1'4'

c. 4.)0')

d. one of the alternative answers is correct.

A!"#$% b

'0. A numerical measure of linear association between two variables is the

a. variance

b. covariance

c. standard deviation

d. coefficient of variation

+$%&'(: b

'3. :ositive values of covariance indicate

a. a positive variance of the . values

b. a positive variance of the y values

c. the standard deviation is positive

d. a positive relation between the . and the y variables

+$%&'(: d

)4. :ositive values of covariance indicate

a. a positive variance of the . values

b. a positive variance of the y values

c. the standard deviation is positive

d. a positive relation between the . and the y variables

+$%&'(: d

)1. ,n regression analysis, the variable that is being predicted is the

a. dependent variable

b. independent variable

c. intervening variable

d. one of these answers is correct.

A!"#$% a

)&. $egression analysis was applied between sales 6in <1,4447 and advertising 6in <1447, and the

following regression function was obtained.

= 5 04 > +.& x

Based on the above estimated regression line, if advertising is <14,444, then the point estimate for

sales 6in dollars7 is

a. <+&,404

b. <1)&,444

c. </44

7

d. </44,444

A!"#$% d

)'.,f the coefficient of correlation is 4.0, the percentage of variation in the dependent variable e.plained

by the estimated regression equation is

a. 4.04?

b. 04?

c. 4.+)?

d. +)?

A!"#$% d

)). ,f the coefficient of determination is equal to 1, then the coefficient of correlation

a. must also be equal to 1

b. can be either 21 or >1

c. can be any value between 21 to >1

d. must be 21

A!"#$% b

8

%hort +nswer: Answer all of the following questions. @a-e sure to show all wor-. !olutions

with no wor- will receive no credit.

1.=ou are given the following data on the priceAearnings 6:A#7 ratios for twelve companies.

Bonstruct a stem2and2leaf display. !pecify the leaf unit for the display.

&' &* '3 )/ && '/

0 '+ )0 &0 '/ &+

+$%&'(: Ceaf Dnit 5 14Es

!o place the values in ascending order and then put them under the appropriate stem.

8rdered% 0, &&, &', &*, &+, &0, '+, '/, '/, '3, )/, )0

4F 0

1F

&F & ' * + 0

'F + / / 3

)F / 0

9

&. The grades of 14 students on their first management test are shown below.

3) +1 3+ ++ 3&

+0 /* 0* 0) /0

a. Bonstruct a frequency distribution. Cet the first class be +4 2 +3.

b. Bonstruct a cumulative frequency distribution.

c. Bonstruct a relative frequency distribution.

+$%&'(: $ecall that frequency is simply the count. Bumulative frequency is the total count.

$elative frequency shows the values in percent form.

a. b. c.

Bumulative $elative

Blass Frequency Frequency Frequency

+4 2 +3 ' ' 4.'

/4 2 /3 & * 4.&

04 2 03 & / 4.&

34 2 33 ' 14 4.'

Total 14 1.4

Additional (uestion to Bonsider% Bould you construct a cumulative frequency distribution9

!how it above.

10

'. The hourly wages of a samp"e of eight individuals is given below.

,ndividual Gourly "age 6dollars7

A &/

B &*

B &4

1 14

# 1&

F 1)

H 1/

G 13

For the above samp"e, determine the following measures%

a. The mean.

b. The standard deviation.

c. The &*th percentile.

+$%&'(%:

a. To get the mean we use the formula%

I

x

5 J.

i

An5 6&/>&*>K.>1/> 137A0 5 5 10

b. To get standard deviation we use the following formula%

s 5

&

s where s

&

5 J 6 .

i L

I

x

7

&

A 6n217

!o we subtract each value from the mean, square it, divide the entire sum by 6n217 and then

square root it as follows%

s

&

5M6&/2107

&

> 6&*2107

&

> K..> 61/2107

&

> 6132107

&

N A 60217 5 5 '+

!ince s

&

, '+, then s 5 '+ 5+

c. To find (1 we first order the data and then find C1 5 4.&* O 5 4.&*O05&.

28rdered 1ata% 14, 1&, 1), 1/, 13, &4, &*, &/

2!ince it is a whole number is is halfway between the &

nd

and '

rd

variable. ,n this case that is 1&

and 1). !o (151'.

11

). #.hibit +2)% The starting salaries of individuals with an @BA degree are normally distributed

with a mean of <)4,444 and a standard deviation of <*,444.

a.$efer to #.hibit +2). "hat is the random variable in this e.periment9

b.$efer to #.hibit +2). "hat is the probability that a randomly selected individual with an @BA degree

will get a starting salary of at least <'4,4449

c.$efer to #.hibit +2). "hat is the probability that a randomly selected individual with an @BA degree

will get a starting salary of at least <)/,*449

+$%&'(:

a. the starting salaries of the @BA degree are the variables in the study. "e -now that @BA salary is the

variable since it ta-es on a range of values and we are collecting data on it.

b. "e want to -now what is the : 6P Q '4,4447. $ecall to find out this probability we must first convert

to z2scores and then use the standard normal probability table to find the value.

Z= = = -2

!o we want : 6z Q 2&7 5 1 L : 6z ; 2&7 5 1 L 4.&&0 5 4.3//&

-raphica"":

c. "e use the same idea, but now we want : 6P Q )/,*447.

!o once again we covert our . to a z2score to find the probability. ,n this case R5 5 5

1.*

!o we want : 6z Q 1.*7 5 : 6z Q1.*7 5 4.4++0.

-raphica"":

12

Z

4

!o we want to -now

the probability of

being greater than 2&.

This is all the area to

the right of 2&.

2&

Z

!o we want to -now

the probability of

being greater than 1.*.

This is all the area to

the right of 1.*, which

,s Sust the tail region

*. A sample of 3 mothers was ta-en. The mothers were as-ed the age of their oldest child. =ou

are given their responses below.

' 1& ) / 1) + & 3 11

a. Bompute the mean.

b. Bompute the variance.

c. Bompute the standard deviation.

d. Bompute the coefficient of variation.

e. 1etermine the &*th percentile.

f. 1etermine the median

g. 1etermine the /*th percentile.

h. 1etermine the range.

+$%&'(%:

The first thing , am going to do since we are as-ed to get items that require the values to be in orderK,

will order the date from lowest to highest.

!o we have% &, ', ), +, /, 3, 11, 1&,1)

a. To get the mean we use the formula%

I

x

5 J.

i

An5 6&>'>K.>1&> 1)7A3 5 5 /.*+

b. To get variance we use the following formula%

s

&

5 J 6 .

i L

I

x

7

&

A 6n217

!o we subtract each value from the mean, square it, divide the entire sum by 6n217

s

&

5M6&2/.*+7

&

> 6'2/.*+7

&

> K..> 61&2/.*+7

&

> 61)2/.*+7

&

N A 63217 5 5 1/./0

c. standard deviation 5 s 5

&

s 5 /0 . 1/ 5).&&

d. Boefficient of variation 5 BT 5 O144 5 O1445 4.**0O144 5 **.0

e. !o (1 5 4.&*On 5 &.&*. $ecall that we round up, so the value is the '

rd

term or )

f. The median or (& is e.actly the *

th

term or /

g. For (' 5 4./*On 5 +./*. "e round up to / and note the /

th

term is 11

h. The range 5 6largest value L smallest value75 61) 2 &7 5 1&

13

4 1.*

+. The following observations are given for two variables.

y .

* &

0 1&

10 '

&4 +

&& 11

'4 13

14 10

/ 3

a. Bompute and interpret the sample covariance for the above data.

b. Bompute and interpret the sample correlation coefficient.

+$%&'(%:

$ecall that to get Bovariance and Borrelation coefficient we need to have the mean of both P and = as

well as the standard deviation of P and =. , am not going to run through the calculations 6as they are the

same method as above7, but ma-e sure you can do them. The respective means of P and = are%

514

5 1*

The respective standard deviations of P and = are

s

.

5+.'&

s

=

50.0'

a. !o now we Sust apply the covariance formula which is%

Bovariance 5 s

.y

5 61A n217 J 6 .

i L

I

x

7 6 y

i L

I

y

75 61A n217 J 65 61A/7 O M6& L 147 61* L *7 > 6& L

1&7 61* L 07 > K.> 6102147 61* L 147 > 614 L 37 61* L /7N 5 13.&0+ 6rounded7. !ince the

covariance is positive, it indicates a positive relationship between . and y.

b. ow if we want to get correlation coefficient we recall the formula is%

ow plugging all numbers into the correlation coefficient formula we get%

r

.y

5 s

.,y

A s

.O

s

=

5 13.&0+ A6+.'&7O60.0'7 5 4.')*. There is a positive relationship between . and y.

The relationship is not very strong.

14

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