Nepal Open University

Faculty of Management and Law

Office of the Dean
End Year Exam 2077 (2020)

Program - Bachelor of Business Science Full Marks 100

Year - First Time 3 hours
Subject - MGMTH 323 Mathematics and Statistics

Candidates are requested to give their answers in their own words as far as practicable. The
figures in the margin indicate full marks.

Section A

Comprehension Questions (6×5 = 30)

Attempt any SIX questions only.

1. Draw a histogram for the following data and locate mode.
Marks 0-20 20-40 40-60 60-80 80-100 100-120
No. of students 15 25 40 65 20 10

2. Given that the difference between the two extreme quartiles is 8, the sum of two extreme
quartiles is 22 and the median is 10.5, find the coefficient of skewness.
3. The average marks scored by 300 students in CMAT are 50. The mean of the top 100 of
them is 70, and that of lowest 100 is known to be 20. What is the average of the
remaining 100 students?
4. From the following data calculate index number:
Commodity A B C D E
Price in 2013 162 265 257 137 80
Price in 2015 171 164 189 145 95
5. In a metropolitan city, 48% of all teenagers own a scooter and 22% of all teenagers own
a scooter and a bike. What is the probability that a teenager owns a bike, given that the
teenager owns a scooter?
6. If the profit from the sale of x units of a product is P = 90x – 200 – x2, what level of
production will yield a profit of Rs 1200?
2 1 4 0 1 1
Find A(BC) if A = [ ],𝐵 = [ ] and C = [ ]
7. 3 4 1 2 1 3
8. Use graphical method to solve the following pair of simultaneous equation
5x + 2y = 20
Y – 2x = 1

9. A box contains 8 white and 4 black balls. If three balls are drawn randomly, find the
number ways that (i) Two are white and one is black (ii) All are white (iii) All are black.

Section B

Descriptive and Problem Solving Questions (15×3 = 45)

Attempt any THREE questions only.

10. The following table shows the number of motor registrations and the sales of
Gorakhkali Motor Tyres by a wholesale dealer in Kathmandu for a term of 5 years.
Motor Registration (in ‘000) 60 63 72 75 80
No. of Tyres Sold (in ‘000) 125 110 130 135 150
(a) Estimate the sales of tyres when the expected motor registration next year is
90,000.
(b) Calculate the correlation coefficient and test its significance. What is your
interpretation of the estimated coefficient and significance?
11. A factory produces two types of electric bulbs A and B. In an experiment
relating to their life, the following results were obtained.
No. of bulbs
Life (in hours)
A B
500-700 5 4
700-900 11 30
900-1100 26 12
1100-1300 10 8
1300-1500 8 6
Compare the variability of life of the two varieties of electric bulbs.
12. An advertising agency finds that, out of its 170 clients, 115 use Television, 110 use
Radio and 130 use Magazines. Also 85 use Television and Magazines, 75 use
Television and Radio, 95 use Radio and Magazines, 70 use all the three. Draw Venn
diagram to represent these data. Find how many (i) use only Radio? (ii) use only
Television? (iii) use Television and Magazine but not radio? (iv) use exactly one
media (v) use at least one media (vi) exactly two media (vii) use none of three media.
13. Find the optimum solution using graphical method
Maximize Z = 3x + 2y
Subject to:
2x + y ≤ 100
x + y ≤ 80
x ≤ 55
x, y ≥ 0
14 Automobile manufacturer uses three different types of trucks T1, T2 and T3 to transport
the number of micro-bus, Alto car and Maruti car as shown in the table:

Types of trucks Micro-bus Alto car Maruti car

T1 2 3 6
T2 6 7 6
T3 9 12 8
If a dealer orders 46 Micro-buses, 60 Alto cars and 64 Maruti cars, how many trucks
of each type does the factory need to make this delivery. (Use matrix method)

Section C

Case/Situation Analysis (1×25 = 25)

15. Read the situation given below and answer the questions that follow.

A goal of management of any business company is to earn profit as much as possible relative
to the capital invested in the company. One measure of sources in this effort is the rate of
return on equity- the ration of net income to stockholder’s equity. Shown here are the rate of
return on equity of 20 companies.
9, 19, 16, 23, 41, 11, 16, 52, 12, 6, 17, 31, 10, 8, 11, 13, 12, 30, 15, and 7
(a) List five-number summary and mean rate of the return on equity percentages. (7)
(b) Construct the box-plots and describe the shape of the distribution. (5)
(c) Calculate quartile deviation and standard deviation. (7)
(d) What would you tell a stockholder about return on equity percentages on the basis of
mean, median, extreme quartiles and standard deviation? Explain. (6)