The Question Paper must be handed in

together with the Answer Booklet.

FINAL EXAMINATION AM
Semester : December 2021

Date : December 2021

Module : ADVANCE BUSINESS STATISTIC

Time :

INSTRUCTIONS TO CANDIDATES:

1. This examination contains FOUR (4) questions with total marks of 100. Please
answer ALL questions.

2. Please write your Student ID Number, Class Code, and Signature.

3. Clearly indicate the Question Number when you begin an answer to that question.
Otherwise, no marks will be allocated to that answer.

4. All answers must be clear.

5. Please note that if you are caught cheating in the examination, you will be given
ZERO marks.

THE UNIVERSITY RESERVES THE RIGHT NOT TO MARK YOUR

SCRIPT IF YOU FAIL TO FOLLOW THE INSTRUCTIONS.
2. Listed below are the movies with the largest world box office sales
and their world box office budget (total amount available to spend
making the picture).

Find the correlation between the world box office budget and world
box office sales.
Comment on the association between the two variables. Does it
appear that the movies with large budgets result in large box office
revenues?
3.

4. Heinz, a manufacturer of ketchup, uses a particular machine to

dispense 16 ounces of its ketchup into containers. From many years
of experience with the particular dispensing machine, Heinz knows the
amount of product in each container follows a normal distribution with
a mean of 16 ounces and a standard deviation of 0.15 ounce.

A sample of 50 containers filled last hour revealed the mean amount

per container was 16.017 ounces.

Does this evidence suggest that the mean amount dispensed is

different from 16 ounces? Use the .05 significance level.
(a) State the null hypothesis and the alternate hypothesis.
(b) What is the probability of a Type I error?
(c) Give the formula for the test statistic.
(d) State the decision rule.
(e) Determine the value of the test statistic.
(f ) What is your decision regarding the null hypothesis?
(g) Interpret, in a single sentence, the result of the statistical test.