MODEL QUESTION PAPER – SET 1

Business Statistics (20MBA14)

Note: 1) Answer any 4 full questions from Q.No. 1 to Q.No. 7

2) Part – B, Q.No. 8 is compulsory
Part – A
1) a. Explain the functions of statistics. (3marks)
b. Calculate Median, Upper quartiles, 3rd Decile from the following data: (7 marks)
Heights in Cm 145-150 150-155 155-160 160-165 165-170 170-175 175-180
No. of persons 2 4 12 22 30 25 10
c. From the prices of X & Y of shares A& B respectively given below, state which share is
morestablein value.
(10marks)

Price of Share A 55 54 52 53 56 58 52 50 51 49

Price of share B 108 107 105 105 106 107 104 103 104 101

2) a. What do you mean by correlation? Mention any four uses of it? (3marks)
b. Discuss the difference between Parametric and Non-Parametric tests? (7 marks)

c. Calculate Spearman’s rank correlation co-efficient between advertisement cost and sales

from the following data

Advertisement 39 65 62 90 82 75 25 98 36 78
cost(‘000 Rs)

Sales(lakhs Rs) 47 53 58 86 62 68 60 91 51 84

3) a. Explain the significance in measuring dispersion? (3marks)

b. In a bolt factory, machines A, B and C manufacture 25%, 35% and 40% respectively of the
total. Of their output 5, 4 and 2 percent are known to be defective bolts. A bolt is drawn at
random from the product and is found to be defective. What are the probabilities that it was
manufactured by machines B or C ? (7marks)
c. The following data related to the scores obtained 9 salesmen of a company in an intelligence
test and their weekly sales in Rs (‘ooo). (10marks)
Salesman A B C D E F G H I
Test scores 50 60 50 60 80 50 80 40 70
Weekly sales 30 60 40 50 60 30 7 50 60
(i) Obtain the regression equation of sales on intelligence test scores of the salesman.
(ii) If the intelligence test score of a salesman is 65, what would be his expected weekly
sales?

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4) a. What is Poisson’s distribution? Mention 2 application of Poisson distribution. (3marks)

b. calculate Rank Correlation co-efficient between marks assigned to 10 students by judges

X & Y in a certain competitive test. (7marks)
Marks given by judge X 52 53 42 60 45 41 37 38 25 27
Marks given by judge Y 65 68 43 38 77 48 35 30 25 50

c. (i) A cyclist pedals from his house to his college at a speed of 10 km/hr and back from
college to his house at 15 km/hr. Find the average speed. (5 marks)
(ii) If the A.M. of two observations is 127.5 & their G.M. is 60. Find (i) Their H.M. & (II)
two observations. (5 marks)
5) a. What do you mean by correlation? Mention any four uses of it? (3 marks)

b. The mean and standard deviation of a set of 100 observations were worked out as 40 and 5
respectively by a computer which by mistake took value 50 in place of 40 for one
observation. Find the correct mean and standard deviation (7 marks)
c. Goals scored by two teams A & B in a football season are given below. Find the more
consistent team. (10 marks)

No. of goals 0 1 2 3 4 5
Team A 27 9 8 5 4 1
Team B 17 9 6 5 3 2

6) a. Define time series analysis? Mention the methods used for the study and measurement of
trend in time series ? (3 marks)
b. Explain the Procedure of hypothesis test described various stages involved. (7 marks)
c. Mysuru Mahanagar Palike surveyed the travel preferences of people who travelled to work
by train or bus. The initial analysis suggested that 1 in 5 people travelled by train to work. If
5 people are interviewed, what is the probability that,

i) Exactly 3 prefer travelling by train

ii) Three or more prefer travelling by train and
iii) Less than 3 prefer travelling by train. (10marks)

7) a. What is hypothesis? Mention the types of hypothesis testing? (3 marks)

b. From the following series of annual data, find the trend line by the method of semi-averages.
Also estimate the value for 1999. (7 marks)

Year 1990 1991 1992 1993 1994 1995 1996 1997 1998

Actual value 170 231 261 267 278 302 299 298 340

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c. Three products received the following performance ratings by a panel of 15 consumers.

Product

A B C

50 80 60

62 95 45

75 98 30

48 87 58

65 90 57

Use the Kruskal-Wallis test and α = 0.05 to determine whether there is a significant difference
in the performance ratings for the products. (10 marks)

Part - B
8) a. A coaching centre claims that students will perform better in their exams after going
through the coaching offered by their centre. The table given below shows the marks obtained
by 6 students before and after the coaching course. Can you conclude that the students score
has improved after the course with level of significance α = 0.05?

Student 1 2 3 4 5 6

Marks (before) 85 96 70 76 81 78

Marks (after) 88 85 89 86 92 89

(10 marks)
b. The number of defects per unit in a sample of 330 units of manufactured product was
givenbelow. Fit a Poisson distribution to the data ( Given e-0.439 = 0.6447)

No. of defects 0 1 2 3 4

No. of units 214 92 20 3 1

(10 marks)

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 MODEL QUESTION PAPER – SET 2
Business Statistics (20MBA14)

Note: 1) Answer any 4 full questions from Q.No. 1 to Q.No. 7

2) Part – B, Q.No. 8 is compulsory
Part – A
1. a.Mention the applications of statistics. (3marks)
b. Find the Mean & Standard Deviation from the following data: (10marks)

X 10 20 30 40 50 60 70 80
Y 15 30 53 75 100 110 115 125 (7 marks)

c. Fit a straight line trend by the method of least squares and estimate the arrival in the year
2013, for the data indicated in the table below: (10marks)

Year 2003 2004 2005 2006 2007 2008 2009

Tourists arrivals 18 20 23 25 24 28 30

2. a. Discuss the advantages and limitations of Diagrams and Graphs. (3marks)

b. For a certain frequency table which has only been partly reproduced, here the Mean
was foundto be 1.46 . Calculate the missing frequencies.
No. of accidents 0 1 2 3 4 5
No. of days 46 ? ? 25 10 5 N=200
(7 marks)
c. From the following data obtain the two regression equations. (10 marks)

Sales 91 97 108 121 67 124 51 73 111 57

purchase 71 75 69 97 70 91 39 61 80 47

3. a Mention the rules of probability with formula. (3marks)

b. Discuss : (i) Type I & Type II errors (ii) Different methods of estimating trend (7marks)
c. The table below represents the number of bounced cheques in two banks – Bank A and Bank
B – on randomly chosen 12 days for Bank A and 15 days for Bank B. use a Mann-Whitney
U test to examine at a 5 percent level of significance whether Bank A has more bounced
cheques as compared to Bank B.

Bank A 42 65 38 55 71 60 47 59 68 57 76 42

Bank B 22 17 35 19 8 24 42 14 28 17 10 15 20 45 50

(10 arks)

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4. a. Define time series analysis? Mention the methods used for the study and measurement of
trend in time series ?(3marks)

b. Explain the Procedure of hypothesis test described various stages involved. (7 marks)
c. A financial analyst wanted to find out whether inventory turnover influences any company’s
earning per share (in percentage). A random sample of 7 companies listed in a stock exchange
were selected and following data was recorded for each:

Company Inventory turnover(no. of times) Earnings per share(percentage)

A 4 11

B 5 9

C 7 13

D 8 7

E 6 13

F 3 8

G 5 8

Using Spearman’s rank correlation, find the strength of association between inventory turnover
and earnings per share. Interpret the findings. (10 marks)
5. a. What is Poisson’s distribution? Write a formula for probability function of Poisson’s
distributions. (3marks)
b. Discuss the difference between Parametric &Non Parametric tests. (7 marks)
c. From the following table calculate the Co-efficient of correlation by Karl Pearson’s method,

X 6 2 10 4 8

Y 9 11 5 8 7

(10 arks)

6. a. Define the following terms : i) Independent event; ii)Mutually exclusive event ;

iii) Equally likelyEvent. (3 marks)

b. A machine is expected to produce nails of length 3 cm. A random sample of 25 nails gave
an average length of 3.1 cm with SD 0.3 cm. can it be said that the machine is producing
nails as per specification. (Given value of t0.05 for 24 df is 2.064)
(7marks)

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c. The quarterly sales for five years from 2008-2011 is given below. Use ratio to moving average
method to determine the seasonal indexes.

Quarter Sales (Rs. In thousand)

I II III IV

2008 77 62 56 61

2009 85 64 62 79

2010 91 73 67 86

2011 102 80 74 95

(10 arks)
7. a. Explain the difference between simple and multiple regression with example. (3 marks)

b. A research was conducted to understand whether women have a greater variation in attitude on
political issues than men. Two independent samples of 31 men and 41 women were used for
the study. The sample variances so calculated were 120 for women & 80 for men. Test
whether the difference in attitude toward political issues is significant at 5% level of
significance using F test. (7marks)
c. Three machines are used in the packaging of 10 kg of wheat flour. Each machine is
designed to pack on an average 10 kg of flour per bag. Samples of six bags were selected
from each machine and the amount of wheat packaged in each bag is shown below:

Machine 1 15.8 15.9 16.2 15.7 16.3 15.8

Machine 2 16.5 16 15.4 15.9 16.2 16.1

Machine 3 15.7 16.4 16.2 15.9 15.7 16.3

Use a 5 percent level of significance to test the hypothesis that the amount of wheat packaged
by the three machines is the same using K-W test. (10 marks)

Part - B
2. a. The average daily sales of 500 branch offices was Rs. 150 thousand & the SD of Rs. 15
thousand. Assuming the distribution to be normal, indicate how many branches have sales
between :(i) Rs. 120 thousand & Rs. 145 thousand
(ii) Rs. 140 thousand & Rs. 165 thousand (10 marks)

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b. A manufacturing company has purchased three new machines of different makes and wishes
to determine whether one of them is faster than the others in producing a certain output. Five
hourly production figures are observed at random from each machine and the results are given
in the table below:

Machine A1 Machine A2 Machine A3

25 31 24

Observations 30 39 30

36 38 28

38 42 25

31 35 28

Use Analysis of Variance technique and determine whether the machines are significantly
different in their mean speeds. ( use α = 5% value of F for (2,12) d.f. is 3.89).

(10 marks)

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