TA112

Business Quantitative Analysis

Question 1
(a) Compute:
 (3 + 2)2 – 7
 2/3 + 3/4 -1/3
 [{10 × (3 × 4 ÷ 4 – 1) – 2} – {(6 × 6 – 6 ) ÷ 2}] ÷ 3
(b) If x + y = 5, xy = 6 and x>y, Find the value of
 2(x2 + y2),
 x3 – y3 – 3(x2 + y2)
 x5 + y5.
(c) Number of passengers in a steamer is 752. The fare per head for the cabin is thrice that for the
deck. The fare per head for the deck is Tk. 30. The total fare collected is Tk. 33840.
 Letting the number of passengers on the deck as x, form an equation.
 What is the number of passengers on the deck and in the cabin?
 What is the fare per head for the cabin?

Question 2
(a) In the queue of the manual registration of ICMAB exam, four more students are standing in front
of Zakir than the number of students standing behind Zakir. Total number of students in the
queue is thrice as the number of students standing behind him. How many students are standing
in the queue?
(b) A person pays no tax on the first Tk.2,50,000 of earnings and then 15 per cent tax on the
remainder of earnings. If his/her tax of the year is Tk.75,000 then what gross earnings does
he/she had?
(c) Three years ago a retailer sold product TS for $30 each. At the end of the first year he increased
the price by 5% and at the end of the second year by a further 6%. At the end of the third year the
selling price was $35.73 each. What was the percentage price change in year 3?
(d) Solve the inequalities:
 1y – 3 < 5
 3(x – 2) < 6
 3x – 2 > 2x – 1

Question 3
(a) Let A ={1, 2, 3, 4, 5}, B ={2,4 } and C = {1,3,5}, then find (i) A B (ii)B  C (iii) C  A.
(b) In a survey of 100 students, the numbers studying various languages were found to be: Spanish
28, German 30, French 42, Spanish and French 10, Spanish and German 8, German and French
5, all the three languages 3.
 How many students took Spanish? (Ans. 20)
 How many took German and Spanish but not French? (Ans. 30)
 How many took French if and only if they did not take Spanish? (Ans. 38)
(c) A Company studies the product preferences of 20,000 consumers. It was found that each of the
 products A, B, C was liked by 7420, 6230, 5980 respectively and all the products were liked by
1500. Products A and B were liked by 2580, products A and C were liked by 1200 and products
B and C were liked by 1950. Prove that the study results are not correct.
(d) From the sets A = {1,2,3,4}, B = {3,4,5,6}, C = {4,5,6,8} and the Universal set U =
{1,2,3,4,5,6,7,8} draw a Venn Diagram showing the elements in the appropriate areas of the
diagram.

Question 4
(a) How long will it take money to treble at 12% interest compounded quarterly?
(b) In how many ways can 4 men and 3 women be arranged at a round table if the 3 women (i)
never sit together, (ii) always sit together? (Ans, (i) 4320, (ii) 720)
(c) A council consists of 10 members, 6 belonging to party A and 4 belonging to party B. In
how many ways can a committee of 5 be selected so that the members of the party A are in
a majority? (Ans. 186)

Question 5
(a) A sum of money invested at compound interest amounts to Tk.21,632 at the end of 2nd year
and to Tk.22,497.28 at the end of the 3rd year. Find the rate of interest and sum invested.
(Ans.4% and 20,000).
(b) A man wishes to buy a house valued at Tk.4,00,000. He is prepared to pay Tk,2,00,000 now
and the balance in 10 equal installments. If interest is calculated at 10% p.a., what should be
paid annually?
(c) A machine costs a company Tk.1,00,000 and its effective life is estimated to be 20 years. If
the scrap is expected to realize Tk.5,000 only, find the sum to be invested every year at 5%
p.a. compound interest for 20 years, to replace the machine which is expected to cost them
25% more over its present cost. Assume that the sale of scrap would be utilized for meeting
the cost of the machine. (Ans. Tk.3630)
(d) If in 5 years the returns are Tk.5,600 per year by investing Tk.18,000 and the discount rate
is 10%, then is it wise to invest in this project?

Question 6
(a) What is skewness? How does it differ from dispersion? What are the commonly used measures of
skewness? “Averages, measures of dispersion and skewness are complementary to one another in
understanding a frequency distribution” Explain the statement.
(b) What is coefficient of variation? What are its advantages over the other measures of dispersion?
If the average score of male students is 3.0 and the standard deviation of their scores is 0.25, and
if the corresponding figures for female students are 2.9 and 0.25, do the scores of male students
are in greater variability? Why?

Question 7
(a) Write a brief note on the purpose of classification of statistical data .The following are the
weights in kilograms of a group of 55 students.
42 74 40 60 82 115 41 61 75 83 63
53 110 76 84 50 67 78 77 63 65 95
 68 69 104 80 79 79 54 73 59 81 100
66 49 77 90 84 76 42 64 69 70 80
72 50 79 52 103 96 51 86 78 94 71

Prepare a frequency table taking the magnitude of each class interval as ten kilograms and the
first class interval as equal to 40 and less than 50. Calculate the arithmetic mean.
(b) Calculate standard deviation and coefficient of variance for the following data
Turnover(Lakh) 5-10 10-15 15-20 20-25 25-30 30-35 35-40
No of Companies 8 18 42 62 30 10 4
(c) The following table shows in inches the respective heights X and Y of a sample of 10 fathers and
their oldest sons
Heights X of father in inch 65 63 67 64 68 66 70 68 69 71
Heights Y of sons in inch 68 66 68 65 69 65 69 71 68 70

Find correlation coefficient and hence comment on your result.

Question 8
(a) Explain why there is a mistake in each of the following statements:
 The probabilities that a certain truck driver in Dhaka city would have no, one and two or more
accidents during the year are 0.90, 0.02, and 0.09 respectively.
 A stockbroker claims that the probability that a stock’s price will go up is 0.38, remain
unchanged 0.52 and go down 0.12.
 The probabilities that there would be no, one two or three rainy days next week are 0.54, 0.28,
0.14 and 0.04 respectively.
(b) The probability that a regularly scheduled flight departs on time is P(D) = 0.83; the probability
that it arrives on time is P(A) = 0.82; and the probability that it departs and arrives on time is P(D
∩ A) = 0.78. Find the probability that a plane (a) arrives on time, given that it departed on time,
and (b) departed on time, given that it has arrived on time.
(c) The number of meteors found by a radar system in any 30-second interval under specified
conditions averages 1.81. Assume the meteors appear randomly and independently.
 What is the probability that no meteors are found in a one-minute interval?
 What is the probability of observing at least five but not more than eight meteors in two minutes
of observation?

Question 9
(a) What is the distinction between the z and t statistics? Identify the particular quantity that
distinguishes these two statistics. Is there a particular class of research questions that lend
themselves to testing via the z statistic? If so, what are the characteristics of these questions and
data?
(b) Carpet land salespersons average $8000 per week in sales. Steve Contois, the firm’s vice
president, proposes a compensation plan with new selling incentives. Steve hopes that the results
of a trial selling period will enable him to conclude that the compensation plan increases the
average sales per salesperson.
 Develop the appropriate null and alternative hypotheses.
  What is the Type I error in this situation? What are the consequences of making this error?
 What is the Type II error in this situation? What are the consequences of making this error?

Question 10
(a) Calculate (a) Paasche's index, (b) Laspeyre's index and (c) Fisher's index numbers for the
following data:

Commodity P0 q0 P1 q1
A 12 20 15 25
B 10 8 16 10
C 15 2 12 1
D 60 1 65 1
E 3 2 10 1

(b) The following are the annual profits in thousands of rupees in an industrial concern:
Year : 1982 1983 1984 1985 1986 1987 1988 1989 1990
Profit : 65 77 80 70 89 95 109 102 105

Use the method of leas squares to fit a straight line trend to the above data also make an estimates
of profit on 2000.