Applied Business Statistics
Final Exam
Course Introduction
Applied Business Statistics introduces students to the fundamental concepts and techniques used to collect, analyze, interpret, and present data in business contexts. The course emphasizes practical applications of statistical methods, including descriptive statistics, probability distributions, sampling techniques, hypothesis testing, correlation, regression analysis, and forecasting. Through real-world case studies and data sets, students learn how to use statistical software to make informed business decisions, evaluate risks, and optimize business processes. By the end of the course, students will have developed the analytical skills necessary to translate complex data into actionable insights for a variety of business functions.
Recommended Textbook
Essentials of Business Statistics 1st Canadian Edition by Ken Black
Available Study Resources on Quizplus
15 Chapters
1055 Verified Questions
1055 Flashcards
Source URL: https://quizplus.com/study-set/2418 Page 2
Chapter 1: Introduction to Statistics
Available Study Resources on Quizplus for this Chatper
60 Verified Questions
60 Flashcards
Source URL: https://quizplus.com/quiz/48057
Sample Questions
Q1) You are the owner of a camping site and want to estimate the average age of your customers. For this purpose, you select a representative sample of your clients and offer them a discount good for their next visit as compensation for filling out a short questionnaire that includes relevant age intervals. The average age of your customers is A) a measurement.
B) data.
C) a statistic.
D) a parameter.
E) a census.
Answer: D
Q2) A student makes an 82% on the first test in a statistics course. From this, she estimates that her average at the end of the semester (after other tests) will be about 82%. This is an example of ___.
A) descriptive statistics
B) inferential statistics
C) population derivation
D) sample persuasion
E) relative level data
Answer: B
To view all questions and flashcards with answers, click on the resource link above. Page 3
Chapter 2: Organizing and Visualizing Data
Available Study Resources on Quizplus for this Chatper
95 Verified Questions
95 Flashcards
Source URL: https://quizplus.com/quiz/48058
Sample Questions
Q1) Categorical data can be represented graphically by a(n)
A) histogram.
B) frequency polygon.
C) ogive.
D) bar chart.
E) none of the above
Answer: D
Q2) The class mark is the ___, and it is ___.
A) total number of class intervals in a frequency distribution; usually between 5 and 15
B) range of the observed values; the difference between the max and min values
C) width of the class intervals; approximately equal to the range divided by the number of classes
D) midpoint of each class interval; geometric mean of the class interval endpoints
E) midpoint of each class interval; arithmetic mean of the class interval endpoints
Answer: E
To view all questions and flashcards with answers, click on the resource link above.
4
Chapter 3: Descriptive Statistics
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/48059
Sample Questions
Q1) Skewness and kurtosis of a data set are measures of the shape of the distribution.
A)True
B)False
Answer: True
Q2) The A-Life and Kafi companies have 40 and 65 employees respectively. Their average weekly wages are $450 and $350. The standard deviations are 7 and 9 respectively. Which company has a larger variability in wages?
Answer: A-Lifes coefficient of variation = 1.6%. Kafis coefficient of variation = 2.6%. The Kafi company has a larger variability in wages.
Q3) Box and whisker plots \(\textbf{ cannot }\)be generated in Excel.
A)True
B)False
Answer: False
Q4) The sum of deviations about the arithmetic mean is always equal to zero.
A)True
B)False
Answer: True
To view all questions and flashcards with answers, click on the resource link above. Page 5
Chapter 4: Gathering Data
Available Study Resources on Quizplus for this Chatper
44 Verified Questions
44 Flashcards
Source URL: https://quizplus.com/quiz/48060
Sample
Questions
Q1) Catherine Chao, Director of Marketing Research, needs a sample of households to participate in the testing of a new toothpaste package. She directs the seven members of her staff to find five households each. Catherine's sample is a ___.
A) cluster sample
B) proportionate stratified sample
C) quota sample
D) disproportionate stratified sample
E) simple random sample
Q2) Cluster (or area) sampling is a type of random sampling technique.
A)True
B)False
Q3) Interviewing all members of a given population is known as A) a sample.
B) a Gallup poll.
C) a census.
D) an audit.
E) none of the above
Q4) What is the difference between stratified and cluster sampling? If the objective is to increase precision, which method is preferred?
To view all questions and flashcards with answers, click on the resource link above. Page 6
Chapter 5: Probability
Available Study Resources on Quizplus for this Chatper
83 Verified Questions
83 Flashcards
Source URL: https://quizplus.com/quiz/48061
Sample Questions
Q1) Probability is the basis for
A) quantitative data.
B) categorical data.
C) inferential statistics.
D) descriptive statistics.
Q2) A recently published study shows that 50% of Americans adults take multivitamins regularly. Another recent study showed that 20.6% of American adults work out regularly. Suppose that these two variables are independent. The probability that a randomly selected American adult takes multivitamins regularly and works out regularly is ___.
A) 0.706
B) 0.309
C) 0.155
D) 0.106
E) 0.103
Q3) Given two events A and B each with a non-zero probability, if the conditional probability of A given B is zero, it implies that the events A and B are mutually exclusive. A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
7
Chapter 6: Decision Analysis and Expected Value
Available Study Resources on Quizplus for this Chatper
42 Verified Questions
42 Flashcards
Source URL: https://quizplus.com/quiz/48062
Sample Questions
Q1) In a decision-making under uncertainty scenario, the decision maker chooses the decision alternative that has the minimum expected (i.e., probability-weighted) payoff among all the available alternatives.
A)True
B)False
Q2) The expected monetary value without information is $2,500, and the expected monetary payoff with perfect information is $5,000. The expected value of perfect information is
A) $7,500.
B) $2,500.
C) $1,500.
D) $2,000.
E) $1,250.
Q3) Variables which take on values only at certain points over a given interval are called continuous random variables.
A)True B)False
To view all questions and flashcards with answers, click on the resource link above.
8
Chapter 7: Discrete Probability Distributions
Available Study Resources on Quizplus for this Chatper
85 Verified Questions
85 Flashcards
Source URL: https://quizplus.com/quiz/48063
Sample Questions
Q1) The service centre of an automotive dealership expects an average of 4 complaints per day. Assume the number of complaints per day is described by a Poisson distribution,
a) what is the probability of at least 2 complaints?
b) how many complaints would you expect in a 2 day period?
Q2) If x is a binomial random variable with n = 10 and = 0.8, the mean value of x is ___.
A) 6
B) 4.8
C) 3.2
D) 8
E) 48
Q3) Both the Poisson and the binomial distributions are discrete distributions and both have a given number of trials.
A)True
B)False
Q4) The Poisson distribution is a continuous distribution which is very useful in solving waiting time problems.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 9
Chapter 8: Continuous Distributions
Available Study Resources on Quizplus for this Chatper
64 Verified Questions
64 Flashcards
Source URL: https://quizplus.com/quiz/48064
Sample Questions
Q1) Let z be a normal random variable with mean 0 and standard deviation 1. What is P(z < 1.3)?
A) 0.4032
B) 0.9032
C) 0.0968
D) 0.3485
E) 0.5485
Q2) Let z be a normal random variable with mean 0 and standard deviation 1. What is P(z > -1.1)?
A) 0.36432
B) 0.8643
C) 0.1357
D) -0.1357
E) -0.8643
Q3) A z score is the number of standard deviations that a value of a random variable is above or below the mean.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
10
Chapter 9: Sampling Distributions
Available Study Resources on Quizplus for this Chatper
65 Verified Questions
65 Flashcards
Source URL: https://quizplus.com/quiz/48065
Sample Questions
Q1) If the population is normally distributed, the sample means of a sample of size n = 5 are normally distributed.
A)True
B)False
Q2) Suppose a population has a mean of 400 and a standard deviation of 24. If a random sample of size 144 is drawn from the population, the probability of drawing a sample with a mean less than 402 is ___.
A) 0.3413
B) 0.6826
C) 0.8413
D) 0.1587
E) 0.9875
Q3) The standard deviation of a sampling distribution of the sample means is commonly called the standard error of the mean.
A)True
B)False
Q4) Let x be a binomial random variable with n = 50 and ? = 0.3. Determine the probability of at most 13 successes, using the normal approximation for binomial distribution.
To view all questions and flashcards with answers, click on the resource link above. Page 11
Chapter 10: Confidence Intervals
Available Study Resources on Quizplus for this Chatper
82 Verified Questions
82 Flashcards
Source URL: https://quizplus.com/quiz/48066
Sample Questions
Q1) The table t value associated with the upper 5% of the t distribution and 12 degrees of freedom is ___.
A) 2.179
B) 1.782
C) 1.356
D) 3.055
E) 3.330
Q2) If you need to estimate the population mean within 2.5 units and with a confidence level of 95%, the minimum value observed is 15 and the maximum 65. What sample size would you use?
A) 9
B) 10
C) 81
D) 96
E) 97
Q3) If the population is normal and its standard deviation is known, and the sample size n is large (n 30), interval estimates for the population mean must be determined using z values.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 12
Chapter 11: Hypothesis Testing for Single Populations
Available Study Resources on Quizplus for this Chatper
77 Verified Questions
77 Flashcards
Source URL: https://quizplus.com/quiz/48067
Sample Questions
Q1) Consider the following null and alternative hypotheses:
H<sub>o</sub>: µ = 67
H<sub>a</sub>: µ \(\neq\) 67
These hypotheses ___.
A) indicate a one-tailed test with a rejection area in the right tail
B) indicate a one-tailed test with a rejection area in the left tail
C) indicate a two-tailed test
D) are established incorrectly
E) are not mutually exclusive
Q2) Ophelia O'Brien, VP of Consumer Credit of Credit First Banks (CFB), monitors the default rate on personal loans at the CFB member banks. One of her standards is "no more than 5% of personal loans should be in default." On each Friday, the default rate is calculated for a sample of 500 personal loans. Last Friday's sample contained 30 defaulted loans. Using \(\alpha\) = 0.10, the test statistic is ___.
A) 1.03
B) -1.03
C) 0.046
D) -0.046
E) 1.33
To view all questions and flashcards with answers, click on the resource link above.
Page 13
Chapter 12: Hypothesis Testing for Two Populations
Available Study Resources on Quizplus for this Chatper
72 Verified Questions
72 Flashcards
Source URL: https://quizplus.com/quiz/48068
Sample Questions
Q1) A researcher believes a new diet should improve weight gain. To test his hypothesis a random sample of 10 people on the old diet and an independent random sample of 10 people on the new diet were selected. The selected people on the old diet gain an average of 5 pounds with a standard deviation of 2 pounds, while the average gain for selected people on the new diet was 8 pounds with a standard deviation of 1.5 pounds. Assume that the values are normally distributed in each population and that the population variances are approximately equal. Using = 0.05, the critical t value used from the table for this is ___.
A) -1.96
B) -1.645
C) -2.100
D) -3.79
E) -1.734
Q2) The difference in two sample means is normally distributed for sample sizes 30, only if the populations are normally distributed.
A)True B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 14
Chapter 13: Analysis of Variance Anova
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/48069
Sample Questions
Q1) As director of the employee wellness and productivity program in your company, you are interested in comparing the effects of strength training, aerobic training, and yoga on decreasing rates of injury and absenteeism. The company has 9 divisions with roughly the same number of employees, and you randomly assign 3 divisions to participate in strength training, 3 to aerobic training, and 3 to yoga. Your alternative hypothesis is ___.
A)\(\mu\)<sub>1</sub>\(\neq\)\(\mu\)<sub>2</sub>\(\neq\)\(\mu\)<sub>3</sub >
B) \(\mu\)<sub>1</sub> \(\ge\)\(\mu\)<sub>2</sub> \(\ge\) \(\mu\)<sub>3</sub>
C) \(\mu\)<sub>1</sub>\(\le\) \(\mu\)<sub>2</sub> \(\le\)\(\mu\)<sub>3</sub>
D)\(\mu\)<sub>1</sub>=\(\mu\)<sub>2</sub>=\(\mu\)<sub>3</sub>
E) at least one of the means is different from the others
Q2) In analysis of variance tests a F distribution forms the basis for making the decisions. A)True B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 15
Chapter 14: Linear Correlation and Simple Linear Regression Analysis
Available Study Resources on Quizplus for this Chatper
110 Verified Questions
110 Flashcards
Source URL: https://quizplus.com/quiz/48070
Sample Questions
Q1) Suppose for a given data set the regression equation is: y = 54.78 + 1.45x, and the point (0.00, 24.78) is in the data set. The residual for this point is ___.
A) 24.78
B) 24.78
C) 0.00
D) 30.00
E) 30.00
Q2) The proportion of variability of the dependent variable (y) accounted for or explained by the independent variable (x) is called the coefficient of correlation.
A)True
B)False
Q3) One of the assumptions made in simple regression is that ___.
A) the error terms are normally distributed
B) the error terms have unequal variances
C) the model is nonlinear
D) the error terms are dependent
E) the error terms are all equal
To view all questions and flashcards with answers, click on the resource link above.
Page 16
Chapter 15: Categorical Versus Categorical: Tests
Available Study Resources on Quizplus for this Chatper
78 Verified Questions
78 Flashcards
Source URL: https://quizplus.com/quiz/48071
Sample
Questions
Q1) A suburban realtor is studying commuter time in the Calgary metropolitan area. She has been told the average weekday travel time from a southern suburb at 8:00 a.m. is 45 minutes. For five months she counts the number of days that it takes her more than 45 minutes to arrive in downtown when she leaves her house at 8:00 a.m. She expects the data are uniformly distributed across the five months. Her sample of observed data yields the following frequencies: 9 days, 15 days, 8 days, 11 days, 12 days. Using \(\alpha\) =.01, the critical chi-square value is ___.
A) 13.277
B) 15.086
C) 7.779
D) 11.070
E) 2.727
Q2) A test of independence is to be performed. The contingency table has 4 rows and 5 columns. What would the degrees of freedom be?
A) 20
B) 9
C) 7
D) 12
E) 19
To view all questions and flashcards with answers, click on the resource link above.
Page 17