OPMC001 – BUSINESS STATISTICS FINAL EXAM

1. The degrees of freedom for the F-test in a one-way ANOVA are

Ans- (c-1) and (n – c)

2. A probability distribution obtained from tossing a coin for 10 times, then mean of this
distribution is:
Ans: 5

3. The Mean weight of the class of students is 65 and standard deviation is 20, if a group of 16
students is randomly selected for the class then the probability that the average weight of
group is less than 75 (table value at z=2 is 0.48)
Ans- 0.98

4. The most common graphical presentation of quantitative data is a

Ans- Histogram

5. If random Variable Z is normally Distributed with Mean 0 and Standard Deviation 1, then
what is P (-1.96 E z E 1.96)?
Ans- 0.95

6. In hypothesis testing if the null hypothesis is rejected

Ans- The alternative hypothesis is true

7. In the data set 1,2 ,5 ,7,9,2 by changing the third variable to 6

Ans- mean and median are altered

8. A probability Distribution showing the probability of X successes in N trials, where the

probability of success does not change from trial to trial is termed as
Ans- binomial probability distribution

9. A simple random sample of 100 observations was taken from a large population. The
sample mean and the standard deviation were determined to be 80 and 12 respectively. The
standard error of the mean is
Ans- 1.20
10. The intersection of two mutually exclusive events
Ans- Must always be equal to 0

11. A lottery is conducted using 3 urns, each Urn contains chips numbered from 0-9. One chip is
selected at random from each Urn. The total no of sample space is
Ans-1000

12. A type 2 error occurs when we______

Ans- Do not reject a false null hypothesis

13. A normal distribution with a mean of 0 and standard deviation of 1 is called

Ans- A standard normal distribution

14. While studying the heights of a particular population group, I encounter a 7 feet tall person.
He will be called a
Ans- An outlier

15. Whenever using the t distribution in estimation, we must assure that

Ans- The population is approximately normal

16. Values for the probabilistic inputs to a simulation

Ans- Are randomly generated based on historical information

17. The addition law is potentially helpful when we are interested in computing the probability
of
Ans- The Union of Two Events

18. If random Variable X is normally distributed with mean 20 and standard deviation 10 then
for what value of x, z score is 2.5
Ans: 45

19. The most common graphical presentation of quantitative data is a

Ans- Histogram
20. Parametric statistics test examples are:
Ans- All of the above

21. A tabular summary of a set of data showing the fraction of the total number of items in
several classes
Ans: Relative Frequency Distribution

22. A statement made about a population for testing purpose is called____

Ans- Hypothesis

23. For the interval estimation of m when s is known and the sample is large, the proper
distribution to use is
Ans- The t distribution with n-1 degrees of freedom

24. The ages in an old-age home are as follows 65,66,67,63,68,69,70,88,91,73,64,71, The mode of
ages in this home is
Ans- Does not exist

25. A numerical measure of linear association between two variables is the

Ans- Correlation Coefficient

26. The sum of frequencies for all classes will always equal
Ans- The number of elements in a data set

27. A continuous random variable may assume

Ans- Any value in an interval or collection of interval.

28. Fifteen percent of the students in a school of business administration are majoring in
Economics, 20% in finance, 35% in management, & 30% in accounting. The graphical
device(s) which can be used to present these data is (are):
Ans- Both a bar graph and a pie chart

29. A and B are mutually exclusive and collectively exhaustive event. Probability of A is 0.60.
Probability of B is
Ans- Equal to 0.40

30. If A and B are two mutually exclusive and exhaustive events with probability of A equal to
0.3,
then find probability of B
Ans -0.7

31. In hypothesis testing, when calculated statistics cross the specified threshold and null
hypothesis get rejected. Region before threshold is known as
Ans- Acceptance Region

32. The sampling Error is the

Ans-The difference between the value of the sample mean of the population mean

33. If a hypothesis is not rejected at the 5% level of significance

Ans- It will also not be rejected at 1% level

34. Which statement is true for normal curve?

Ans- Area under the normal curve is equal to one.

35. Which among the following is not true about coefficient of correlation?
Ans- Its unit is same as that of the unit of one of the variance.

36. A test has been used to check the association between gender and profession. What test it
could be?
Ans- Chi square

37. In Hypothesis testing if the null hypothesis has been rejected when the alternative is true
Ans- The correct decision has been made

38. If an interval estimate is said to be constructed at a 90 % confidence level, the confidence

coefficient will be
Ans- 0.9
39. If x is a variable with values 10,20,30 and frequency 6, unknown, 2 respectively. The average
value of x is 16. What will be the unknown frequency?
Ans = 2

40. The level of Significance

Ans- is (1-Confidence level)

41. The data-set 12,13,27,18,32 is-

Ans- Right skewed

42. Calculate Median for the data 20,12,22,24,12,24,26,12

Ans. 21

43. Which of the following provides a measure of central location for the data?
Ans- Mean

44. In the following example, null and alternative hypotheses are written as. Ho: μ≤ 10 Ha: μ >
10 Select a statement which holds true.
Ans- Null and alternative hypotheses are mutually exclusive

45. If random Variable X is normally distributed with mean 20 and standard deviation 10, then
z – score for x = 25 is _____
Ans- z-score for (x = 25) is 0.5.

46. A coin is tossed twice. It could be head or tails each time there are 4 combinations are they –
Ans- Collectively exhaustive mutually exclusive

47. A fair die is rolled 10 times. What is the average number of even number outcomes?
Ans: 5

48. From 180 students of a PGDM program 30 opt HR, 50 opt Marketing, 60 Opt Finance rest
of the students opt Operations. What will be the angle corresponding to Operations?
Ans- 80 Degrees

49. If the null hypothesis is false then which of the following is accepted?
Ans- Alternative Hypothesis

50. A and B are mutually exclusive and collectively exhaustive events, Probability of A is 0.60.
Probability of B is:
Ans- Equal to 0.40

51. If the coefficient of variation is 40% and the mean is 70 then the variance is
Ans- 784

52. If Null Hypotheses is μ <70 then the test will be

Ans-Right tail

53. Simulation-
Ans- All of the alternatives are correct

54. If we want to provide a 95% confidence interval for the mean of a population, the
confidence coefficient is
Ans- 0.95

55. If two dices are thrown once, what is the probability of not getting the same number on both
dice
Ans- 0.83

56. A frequency distribution is a tabular summary of data showing the

Ans- No of Items in several classes

57. The collection of all the elements of interest in a particular study is

Ans: The population
58. From a population that is normally distributed, a sample of 25 elements is selected and the
standard deviation of the sample is computed. For the interval estimation of m, the proper
distribution to use is the.
Ans- T distribution with 24 degrees of Freedom

59. The sum of the percent frequencies for all classes will always equal
Ans- 100

60. In a standard normal distribution, the range of values of z is from

Ans- -3.9 to +3.9

61. Paired T test can be conducted if we have

Ans- Dependent sample

62. In a cumulative relative frequency distribution the last class will have a cumulative relative
frequency equal to
Ans- One

63. The numerical value of the standard deviation can never be

Ans: Negative

64. If my null hypothesis is ‘Dutch people do not differ from English people in height’, what is
my alternative hypothesis?
Ans- All the statements above one plausible alternative hypothesis

65. In a simple random sample

Ans- Every item has an equal probability of selection

66. Chi-square is used to analyse:

Ans – Frequencies

67. In the following example, null and alternative hypotheses are written as. Ho: μ = 10 Ha: μ ≠
10 Select a statement which holds true. Select one:
Ans- Test is two tail test.

CASE STUDY

A batch of 5000 electric lamps has a mean life of 1000 hours and a standard deviation of 75 hours:
Assume a normal distribution.

1) Given the same mean life, what would be the standard deviation have to ensure that no
more than 20% of lamps fail before 916 hours?
Ans- 100

2) How many lamps will fails before 900 hours?

Ans- 4560

3) How many lamps will fail between 950 & 1000 hours?
Ans- 1250

4) What proportion of lamps will fails before 925 hours?

Ans- 0.16
Case Study Questions:

A batch of 5000 electric lamps has a mean life of 1000 hours and a standard deviation of 75 hours:-
Assume a normal distribution

a) How many lamps will fails before 900 hours? – 4560

b) How many lamps will fail between 950 & 1000 hours? – 1250

c) What proportion of lamps will fails before 925 hours? – 0.16

d) Given the same mean life, what would be the standard deviation have to ensure that no more than
20% of lamps fail before 916 hours? – 100

New Questions Ankit exam dated April 30th

In the following example null and alternative hypothesis are written as HO sample mean <= 100, Ha:
sample mean > 100, select a statement which holds true

Null and alternate hypothesis are rightly set to conduct testing

A graphical presentation of the relationship between two variables is

A scatter diagram

For a value of P=0.5, the value of P(1-P) is ___

maximized

For the interval estimation of m when s is known and the sample is large, the proper distribution to use is

the t distribution with n-1 degrees of freedom

New Questions Ratan exam 30th April 11:30am

1. If the coefficient of correlation is 0.8 the percentage of valuation in the dependent variable
explained by the variation in the independent variable is

ans. 0.64

2. When conducting an ANOVA, FDATA will always fall within what range?
 ans. between 0 and Infinity

3. A multiple choice test has 30 questions and each one has five possible answers ,of which only
one is correct .If all answers were guesses ,find the probability of getting exactly four correct
answers?

ans. 0.1325

4. If random Variable Z is normally Distributed with Mean 0 and Standard Deviation 1,then what is
P(z<1.96)?

ans. P(z<196)=0.9750

5. For visualizing two variables one can use

ans- Scatter Plot

6.The sum of percent frequencies for all classes will always equal

ans. 100

7. A numerical measure of linear association between two variables is the

ans- Correlation Coefficient

8. A and B are mutually exclusive and collectively exhaustive event. Probability of A is 0.60.
Probability of B is

ans. between 0 and 1

9. From a population that is normally distributed ,a sample of 25 elements is selected and the
standard deviation of the sample is computed . For the interval estimation of m, the proper
distribution to use is the.

ans. T distribution with 24 degrees of Freedom

10. The intersection of two mutually exclusive events

ans. Must always be equal to 0

11. Which of the following statements is incorrect regarding the advantages of Simulation
 ans. Simulation guarantees an Optimal Solution

April 29th

Which among the following is not true about coefficient of correlation?

its unit is same as that of the unit of one of the variance…

Which of the following values of the chi square distribution cannot occur?

-2.45

The t-distribution is applicable whenever

the population is normal and the sample standard deviation is used to estimate the population standard
deviation

Parametric test, unlike the non-parametric tests, make certain assumptions about

The underlying distribution

The summaries of data, which may be tabular, graphical, or numerical, are referred to as

Descriptive statistics

A simple random sample of 100 observations was taken from a large population. The sample mean and
the standard deviation were determined to be 80 and 12 respectively. The standard error of the mean is

1.20

I blindfold myself and pick up two numbers from a box

A. It is a random sample without replacement.

B. It is a random sample with replacement.

C. It is a probability sample.

D. It is a systematic sample.

The mean of a sample is:

A. always equal to the mean of the population.

B. always smaller than the mean of the population.

C. computed by summing the data values and dividing the sum by (n - 1).

D. computed by summing all the data values and dividing the sum by the number of items.

Which parametric test can be used to find the difference in perception about Metro services in Delhi from
male and female passengers?

Independent sample t-test

Note: Answer not sure

As the number of degrees of freedom for a t distribution increases, the difference between the t
distribution and the standard normal distribution

becomes smaller

A composite price index where the prices of the items in the composite are weighted by their relative
importance is known as the

weighted aggregate price index

April 27th Exam Ques (K)

The Mean weight of the class of students is 65 and standard deviation is 20, if a group of 16 students is
randomly selected for the class then the probability that the average weight of group is greater than 75
(table value at z=2 is 0.48)

0.02

April 26th Exam Ques (K)

The error of rejecting a true null hypothesis is:

a type 1 Error

In hypothesis testing, the tentative assumption about the population parameter is

Options: alternate hypothesis, the null hypothesis, either the null or alternate, none of these alternatives
is correct

Statistical inference

process of drawing inference about population based on the information taken from the sample

(Options not clearly visible in pic, answer as per google)

A and B are collectively exhaustive events but not mutually exclusive. Probability of A if 0.30. The
probability of B is:

● less than or equal to 0.70

● less than 0.70
● any value between 0 and 1
● none of these

In an Excel sheet, slicers are used for

Options not visible in picture

Google: Slicers provide buttons that you can click to filter tables, or PivotTables.

The J.O supplies company buys calculators from a supplier. The probability of a defective calculator is 10
percent. If 100 calculators are selected at random, what is the standard deviation of the number of
defectives?
Answer: 3

N=100 p=0.1 q= 0.9

Sqrt n.p.q = std dev.= 3

Significance for the coefficients (b) is determined by

a. an F-test.
 b. an R2 test.
c. a correlation coefficient.
d. a t-test.

Note: Options and answer are as per google. Exam pic was not clearly visible.

If two independent large sample are taken from two populations, the sampling distribution of the
difference between the two sample means

can be approximately by a normal distribution.

Options not visible, found answer from another source

The relative frequency of a class is computed by

dividing the frequency by the number of values in the data sample

(Answer is as per google; exam pic was not clear)

Main Group - Exam Question dated April 24th after 5pm (SK)

1. Ultimate Goal of ____ is to estimate some desirable measures of performance that describes the
behavior of the system.
a. Simulation
b. Hypothesis
c. Testing
d. None of these

2. Which of the following is a necessary condition for using simple linear regression model?

a. Two variables
b. Linear Component present in the relationship between variables
c. Either there are two variables or there is presence of linear component in the relationship
between variables
d. Two variables and presence of linear component in the relationship between variables
simultaneously

3. For a one-tailed test (lower tail), a sample size of 10 at 90% confidence t=:

a. 1.383
b. 2.821
c. -1.383
d. 2821

4. Which of the following equations is correct

 a. SST=SSC+SSW
b. SST=SSC+SSB+SSE
c. Total Variation= Explained Variation+Unexplained Variation
d. All of the above

5.In hypothesis testing, when calculated statistics cross the specified threshold and null hypothesis get
rejected. Region before threshold is known as

a. Null Region
b. Alternate Region
c. Confidence Region
d. Acceptance Region

6. Select a statement which is true for standard Normal Variate

a. Standard normal Distribution has equal mean and variance

b. Standard normal Distribution has mean and variance equal to 0
c. Standard normal Distribution has mean is equal to 1and the variance is equal to 0
d. Standard normal Distribution has mean is equal to 0 and the variance is equal to 1

7. A multi-dimensional contingency table is best visualized through a

a. Pivot Table
b. Cumulative Frequency Chart
c. Scatter Graph
d. Pie Chart

8. A probability Distribution showing the probability of X successes in N trials, where the probability of
success does not change from trial to trial is termed as

a. uniform probability distribution

b. binomial probability distribution
c. poisson probability distribution
d. normal probability distribution

This condition fulfilled by a,b and C all for d I am not sure..

On quizlet answer is binomial distribution, on chegg answer is uniform.. question is also available on
coursehero .. I m not able to check kindly check. For the time being option a is selected

9.When using ordinal data as one of the coordinates, which of these is true

a. mean median and mode are significant

b. only median is significant
c. mean and median are significant
d. median and mode are significant

10.F-Test is used when certain conditions are met like

a. Focus is central tendency

b. Approximate Normality
c. Variances of the two populations are known
 d. all of these

11. the ___ sum of the squares measures the variability of the observed values around their goodness of
fit line

a. mean
b. total
c. treatment
d. interaction

(Note: Answer not sure, that’s why highlighted the question in yellow)

12.A value for probabilistic input from a discrete probability distribution

a. is the value given by the RAND function

b. is given by matching the probabilistic input with an interval of random numbers
c. is between 0 and 1
d. Must be Non-Negative

13.Using the following probability distribution table of the random variable X, what is the probability of
X=3?

a.7/15

b.3/15

c. 5/15

d.1/15

(Note: Though this question is wrong as they have not given the table, based on best guess answer is 3/15 or 5/15)

14.Consider a hypothesis HO where µ = 5 against H1 where µ1 > 5. the test is

a. Right tailed
b. left tailed
c. Center tailed
d. Cross tailed

Main Group - Exam Question dated April 23rd and 24th (K)

A Tabular method that can be used to summarize the data on two variables simultaneously is called

Cross Tabulation
The most common graphical presentation of quantitative data is a

Histogram

If we want to provide a 95% confidence interval for the mean of a population, the confidence coefficient is

Options: 0.485, 1.96, 0.95, 1.645

Following is a two-way, between – subjects ANOVA a simple effect would involve

● Conduction one contrast

● Conducting a one way within-subjects anova
● Ignoring the existence of one IV and comparing the levels of other IV
● Taking only one level of one IV at a time and comparing the levels of other IV

The difference between the lower class limits of adjacent classes provided the

class width

What would be then consequences for the OLS estimator if heteroscedasticity is present in a regression
model but ignore?

Options: It will be biased, it will be inconsistent, it will be inefficient, all of these

Which of these is true?

● Mean is always less than the median

● The sum of differences between the mean & each element of the data set is 0
● Mean is always greater than the median
● Mode is never a measure of the central measure

A composite price index based on the prices of a group of items is known as the

Aggregate price index

A statement made about a population for testing purpose is called

Hypothesis

The sum of the percent relative frequencies for all classes will always equal
Options: The sample size, the number of classes, one, any value greater than one

(Note: In case you find an option as 100, then mark 100.)

The sum of the relative frequencies for all classes will always equal

Options: The sample size, the number of classes, one, any value greater than one

>> Note that above two questions look similar, but there is a difference of word ‘percent’

Hypothesis test concerning a single parameter is

Options: Numerical, Categorical, Rational, All of these

In the case of testing a claim about a single population parameter, we compare it to a numeric value. In the case of
testing a claim about two population parameters, we compare them to each other.

Aboveisfrom https://courses.lumenlearning.com/wmopen-concepts-statistics/chapter/introduction-to-hypothesis-
testing-1-of-5/

The consumer price index is

● A monthly price index that is designed to measure changes in prices for goods sold in primary
markets
● A quarterly price index that uses 100 as a base
● A monthly price index that uses the price changes in a market basket of consumer goods
and services to measure the changes in consumer prices over time.
● Another name for the Paasche index

For the interval estimation of mean when standard deviation is known and the sample is large, the proper
distribution to use is

The normal distribution

Which of the following provides a measure of central location for the data?

Mean
What should be data assumption for one way ANOVA z-test?

● Randomness and independence

● Homegeneity of variance
● Normality
● All of these

What is b0 in regression analysis?

The value of the outcome when the predictor variable is zero.

Percentage polygon help in:

● Determining percentage frequency distribution of variables

● Observing trend of the distribution
● Comparing distributions of different variables
● All of these

Characteristics of a hypothesis test are:

● We can categorize it in one tail hypothesis

● The probability that you correctly reject a false null hypothesis
● Two tail hypothesis
● All of these

Which test will you use if you have a numerical variable and related samples?

paired t-test

____test would be test whether the population mean is less than a specified value

Options: one tail hypothesis, two tail hypothesis, both of these, none of these

Using the goodness-of-fit test, we can assess whether a set of obtained frequencies differ from a set of
____ frequencies

(Options: Expected, Mean, Actual, None of these)

When each data value in one sample is matched with a corresponding data value in another sample, the
samples are known as

Matched samples

Sampling techniques that we use for probability distribution are:

● Inverse method
● Convolution method
● Acceptance-rejection method
● All of these

Least-squares method minimises the sum of squared difference between

● Observed and predicted values of dependent variable

● Observed values and mean value of dependent variable
● Predicted values and mean value of dependent variable
● Observed values of independent variable and predicted values of dependent variable

There are 30 employees left this year. How many are expected to take VRS this year given that it is not
yet known how many are planning to take?

None of these

(Options: 1, 2, 3, none of these)

A numerical description of the outcome of an experiment is called a

Random variable

(>> Note: Options were not clearly visible in image)

~~ From Video:

A test has been used to check the association between gender and profession. What test it could be?

Options: Chi square, ANOVA, Regression, z test

In hypothesis testing, to conduct before/after study on 10 pair of observations to determine whether there
is any difference in values. As scores are obtained before and after the happening if some planned event.
Suppose, average pairwise difference is 5 and sample standard deviation of 2. If the differences are
normally distributed, what is observed t value of the test?

Options as much as visible: 6.8, 7.9, 5.5, 8.9

=5/(2/√10)=7.9

I take a list of students from the principal and decide to take a random sample. I should ensure.

I should ensure Equal representation from all the categories.

If we consider the simple random sampling process as an experiment, the sample mean is

Always zero

The Securities and Exchange Commission has determined that the no. of companies listed on the NYSE
declaring bankrupting is approximately a poisson distribution with a mean of 2.6 per month. Find the
probability that exactly 4 bankruptcies occur next month

Options: 0.8774, 0.1414, 0.1557, 0.2176

We can evaluate the assumption of ———- in the error by constructing a histogram.

Normality

(Options not visible, found this answer from another file)

A salesman collected the following cash from his retailers the various days for in a month. 5600.3,
3147.91, 234.71, 912.33, 686.777, 4300.91 and so on. To quickly arrive at highest & lowest value he
should draw a

Histogram

(Other Options: Side by side bar chart, X-Y graph, stem and leaf)

In a simple random sample

a. Every item has an equal probability of selection

b. The same sample can be selected twice
c. The mean of the sample must be equal to the mean of population
d. A few items may have higher probability of selection
The value added and subtracted from a point estimate in order to develop an interval estimate of the
population parameter is known as the

Margin of error

An index that is designed to measure changes in quantities over time is the

Quantity index

(Options not visible, found this answer via google)

As the sample size decreases, the margin of error

Increases

A single numerical value used as an estimate of a population parameter is known as

point estimate of the mean

(Options not visible, found this answer via google)

As the sample size increases, the sampling error

Decreases

The sum of the percent frequencies for all classes will always equal

100

(Options not visible, found this answer via google)

The sum of frequencies for all classes will always equal

the number of elements in the a data set

(Other Options : 1, number of classes, a value between 0 and 1)

Neha’s Exam Question dated April 24th

The difference between the point estimate, such as the sample mean and the value of the population
parameter it estimates, such as the population mean is known as the

· Confidence level

· Sampling Error

· Parameter estimate

· Interval estimate

Relationship between amount of hard work and success can best be described as:

· Linear negative

· Linear positive

· Non-linear negative

· Non-linear positive

An experiment consists of three steps. There are four possible results of the first step, three possible
results on the second step and two possible results on the third step. The total number of experimental
outcomes is

9, 14, 24, 36

In a bar chart, or a pie chart, the two variables are usually of the type

Percentage and categorical

The variance of a population is known to be 400. At 95% confidence, the margin of error will be

Please check was there any option=3.92*20=78.4

(Options: 39.2 or less, 3.92 or less, 3.29 or less, 78.4 or less)

In an election opinion poll, there is a margin of error announced by the agency conducting the survey. It is
due to:
 · Not following stratified sampling

· Coverage error

· Non-response error

· Sampling error

In a regression analysis, the variable that is being predicted

· Must have the same units as the variable doing the predicting

· Is the independent variable

· Is the dependent variable

· Usually is denoted by x

The z value for a 97.8% confidence interval estimation is

· 2.02

· 1.96

· 2

· 2.29

Which of the following is not a characteristic of experiment where the binomial probability distribution is
applicable?

The trials are dependent

Which chi square distribution looks the most like a normal distribution?

A chi square distribution with 16 degrees of freedom

(other options were 4, 5, 6, 16)

The normal distribution with a mean of zero and standard deviation of 1 is called

A standard normal distribution

K - Batch B New Questions dated April 18th

If we change a 95% confidence interval estimate to a 99% confidence interval estimate we can expect:

the size of confidence interval to increase

Interval estimate = µ± Zα/2*σ/√n

If Confidence level is increased from 95 to 99% value of Z will increase accordingly interval estimate
will increase

I have 4 areas where I wish to conduct survey & wish to ensure all income groups are equally
represented. However, I wish to draw samples at random from within the various groups. I will conduct

Stratified sample

A sample of 100 elements from a population is selected, and the standard deviation of the sample is
computed. For an interval estimation of m, the proper distribution to use is the

t-distribution with 99 degree of freedom

A probability distribution obtained from tossing a coin for 10 times, then mean of this distribution is:

Answer: 5

Mean of the distribution is np

Where n is the number of trial and p is the probability

Here n=10, p=0.5

Hence Mean=10*0.5=5

Some important assumption must be satisfied by t test which assumptions are related to sample collected
for testing:

All of these

Parametric statistics test examples are:

all of the above

Which of the following test is based on observed and expected frequencies?

Answer: Chi Square test

Which statement is true for normal curve?

Area under the normal curve is equal to one.

Harmonic mean of 1,2,4 is:

Answer: 1.71

3/(1/1+1/2+1/4)=3/(7/4)=12/7=1.71

Independent simple random samples are taken to test the difference between the means of the two
populations whose standard deviations are not known. The sample sizes are n1 = 25 and n2 = 35.
The correct distribution to use is the:

t distribution with 58 degree of freedom

In case of normal distribution following statement is true:

Answer: In normal distribution area below Mean is equal to 0.5

If x is a variable with values 10,20,30 and frequency 6, unknown, 2 respectively. The average value of x is
16. What will be the unknown frequency?

Answer=2

Unknown F

(10*6+20*F+30*2)/(6+F+2)=16

120+20F=128+16F

4F=8

F=2

The rejection probability of null hypothesis when it is true is called as:

Level of significance
In ___ problem-solving approach, you define the business objective as determining whether there is a
difference in the mean:

DCOVA

Analysis of variance is a statistical method of comparing the ______ of several populations.

Mean

If random Variable Z is normally Distributed with Mean 0 and Standard Deviation 1, then what is P(-
1.96 E z E 1.96)?

Answer 0.95

We remember Z for Z=1.96 p value is 0.025

So P for Z>1.96=0.0250

P for Z<-1.96=0.0250

Hence answer P(-1.96 E z E 1.96) should be 0.95

Case Study Questions:

A batch of 5000 electric lamps has a mean life of 1000 hours and a standard deviation of 75 hours:-
Assume a normal distribution

a) How many lamps will fails before 900 hours? – 4560

b) how many lamps will fail between 950 & 1000 hours? – 1250

c) What proportion of lamps will fails before 925 hours? – 0.16

d) given the same mean life, what would be the S.D have to ensure that no more than 20% of lamps fail
before 916 hours? – 100

a) Z=(X-µ)/ σ

Here X=900, µ=1000, σ=75

Z=(950-1000)/75=100/75=-1.333

For Z=-1.333

Probability Value is 0.09176

No. of bulb failing befor 900 hrs =5000*0.09176=458

There is no correct answer in option so choose =5000-458=4542 (bulb not failing befor 900 Hrs)

Choose 4560 Hrs

b)Z=(X-µ)/ σ

Here X=950, µ=1000, σ=75

Z=(950-1000)/75=50/75=-0.667

For Z=-0.667,

2nd case

Here X=1000, µ=1000, σ=75

Z=0

Our answer is P(950<X<1000)=0.5-0.2515=0.2485

Answer=0.2485*5000=1242

Choose 1250

C)Z=(X-µ)/ σ

Here X=925, µ=1000, σ=75

Z=(925-1000)/75=75/75=-1.0

Probabity For Z=-0.667 is 0.15866

Choose answer as 0.16

d) Z=(X-µ)/ σ

Here X=916, µ=1000, σ=?

Probabity=0.2

For this value Z=-0.84

Z=(916-1000)/SD=-0.84

SD=-84/0.84=100
Values for the probabilistic inputs to a simulation
are randomly generated based on historical information

I measure the marks scored by students of a class in various subjects. This is an example of:

Ratio, numerical
(Other options: Nominal and Categorical, Ordinal and Categorical, Interval and numerical)

Independent simple random samples are taken to test difference between the means of two
populations, whose variances are not known. The sample size are n1=32 & n2=40. The correct
distribution to use is the

T distribution with 70 degrees of freedom

Which of the following is not an assumption for simple linear regression?

Multicollinearity

For a one-tailed hypothesis test (upper tail) the p-value is computed to be 0.034. If the test is being
conducted at 95% confidence, the null hypothesis

is rejected

Chi square test can be used to

All of these

If my null hypothesis is ‘Dutch people do not differ from English people in height’, what is my
alternative hypothesis?

All the statements above one plausible alternative hypothesis.

_____is to express desired sample as the statisticall sum of other easy-to-sample random variables.

Convolution method

On which of the following does the critical value for a chi-square statistic rely.
The degree of freedom

A tabular summary of a set of data showing the fraction of the total number of items in several classes
is a

Answer:Relative Frequency Distribution

Statistical inference

Answer is the process of drawing inferences about the population based on the information
taken from the sample

For a one-tailed test (lower tail), a sample size of 22 at 95% confidence, t=:

-1.721

If a Hypothesis is rejected at the 5% level of significance, it

may be rejected or not rejected at the 1% level

Hypothesis is rejected when Z statistics is higher than critical value of Z

When level of significance is being reduced Zcritical will increase

Zat 1% > z at 5% level of significance

Since hyposthesis is rejected at 5% Zstatistics> Z at 5%

However Zstatistics may or may not be greater than Z at 1%

So answer is may be rejected or not rejected at the 1% level

A company wishes to determine the top 20 distributions of a particular product. He would have to
construct a

Pareto Chart

An agency has been hired by a political party to assess the chances to its victory data thus collected
can be categorized as

All of these
What type of data do you need for a chi square test?

Categorical order

The confidence associated with an interval estimate is called the

Confidence level

In the following example null and alternative hypothesis are written as HO sample mean > 100, Ha:
sample mean > 100, select a statement which holds true

Question and option in the picture is not clear

If the question in Ho≥100 then null and alternate hypothesis are rightly set for testing

If it is Ho>100, then it is not rightly set

Which of the following statistical tests allow casual interferences to be made?

None of these

In the following example null and alternative hypothesis are written as HO population variance >= 50,
Ha: population variance < 50, select a statement which holds true

Options are not visible

In Hypothesis testing if the null hypothesis has been rejected when the alternative hypothesis has
been true,

No error

The numerical value of the standard deviation can never be

Answer: Negative

Since SD is square root of varance and variance is square of difference, SD can not be negative
In case of normal distribution following statement is true

Answer: In normal distribution area below Mean is equal to 0.5

If null hypothesis is u < 70, then the test will be

Right Tail test

Question is incorrect, null hypothesis always come with Equal to ( either exactly equalto or Less than and equal to
or greater than and equal to)

Considering equal to symbol is missing answer should be right tail test

A probability distribution obtained from tossing a coin for 10 times, then mean of this distribution is

Answer 5

Mean is np=10*0.5=5

For a one-tailed test (upper trail) a sample size of 18 at 95% confidence t =

1.74

R - Batch B New Questions dated April 18th

Suppose sample of size 1000 is drawn from a population with a mean of 500 and standard deviation of
100. What is expected value of sample means?

Answer 500

Mean of the sample is same as mean of population

Standard deviation is used more frequently than variance because:

it provides more accurate idea of the variability.

A multi dimensional contingency table can be created in excel using a

Pivot table

Mention the type of the normal distribution________

Answer: Normal Distribution is a continuous type of Distribution

A continuous random variable may assume

Any value in an interval or collection of interval

In hypothesis testing, when calculated statistic cross the specified threshold and null hypothesis get
rejected. This specified threshold is known as

Critical Value

Average mark obtained by a class of 120 students is 60. If the average mark of all 75 boys is 45 then find
average mark obtained by girls.

Answer 85

No. of Boys=75 and Hence No. of Girls=120-75=45

average No. scored by Girls say X
120*60=75*45+45*X
7200=3375+45X
45X=3825
X=85
Answer 85

A bar chart can be plotted when percentages do not add up to 100 –

Sometimes

Harmonic means are generally used for

Answer: Prices

When events occur at discrete points in time

All of the alternatives are correct

A bar chart has been plotted but my boss prefers a doughnut chart. Is it possible?

with one more item of information

In order to use the normal distribution for interval estimation of m when s is known, the population

Must be very large

Qualitative data can be graphically represented by using a(n)

Bar graph

For which of the following values of P is the value of P(1-P) maximized?

P = 0.50

The word “uniform” in the term “uniform random numbers” means

each number has an equal probability of being drawn

For a one – tailed test (lower tail) at 93.7% confidence, Z=

-1.53

The t value with a 95% confidence and 24 degree of freedom is

2.064

If the coefficient of of determination is a positive value, then the coefficient of correlation

Answer: Can be either negative or positive

Blocking variable serves the purpose of

● making the variation between columns less visible

● shifting the variation of error variance into block variance
● finding the ratio between the total variance and error variance
● highlighting the variation into blocks rather than groups

(Note: not sure about the answer, that’s why marked the ques as yellow)

Pending
The interquartile range is used as measure of variability to overcome what difficulty of the range?

the range is influenced too much by extreme values

A type 2 error occurs when we______

do not reject a false null hypothesis

The addition law is potentially helpful when we are interested in computing the probability of

The Union of Two Events

If in a linear regression model the train error is zero, then

Couldn’t comment on test error

Using the following probability distribution table of the random variable X, what is the probability of X=3?

5/15

Find Variance for an F-Distribution with v1=5 and v2=9

1.587

The variance is equal to [ 2 * v22 * ( v1 + v2 - 2 ) ] / [ v1 * ( v2 - 2 )2 * ( v2 - 4 ) ]

=[2*81*(5+9-2)]/{5*49*5}=162*12/25*49=1.587

A fair die is rolled 36 times. What is the standard deviation of the even number outcomes?

Answer: 3

n=36
p=0.5
q=0.5
SD= SQRT(npq)=3

A type 1 error occurs when we______

reject a true null hypothesis

The following test can be used to determine the type of distribution of any data set.

One sample K-S test

When a histogram has a longer tail to the right, it is said to be

skewed to the right

A fair die is rolled 10 times. What is the average number of even number outcomes?

Answer: 5

Average=np

here n=10

p=0.5

average=10*0.5=5

______ is used to measure autocorrelation

Durbin Watson statistic

Business Statistics Lot 2

1. If you assume that the difference scores are randomly and independently selected from a
population that is normally distributed, which test will be used?of
Ans- paired T test for the mean difference
2. A soft drink filling machine when in perfect adjustment fills the bottle with 12 ounces of soft drink.
Any over filling or under filling results in the shut down and readjustment of the machine is properly
adjusted the correct set of hypothesis is
Ans-HO:m=12 Ha:m square 12
Null Hypothesis will always have Equal to symbol or it may combine with lesser than or greater than
symbol depending upon alternate hypothesis.
(There is a discrepancy in question options)

3. Values of three quartiles from a given data is given as ,1 st quartile=5,2nd quartile =10,3rd quartile
=20,what will be median for this data
Ans-10

Median is mid point which is same as 2nd quartile. 1st quartile is 25% 2nd Quartile is 50% and third
quartile is 75% and hence Median will be same as 2nd quartile

4. From a population which is not normally distributed and whose standard deviation is not known a
sample of 20 items is selected to develop an interval estimate for m

Ans. The T distribution for 19 degrees of freedom must be

5. The Mean weight of the class of students is 65 and standard deviation is 20, if a group of 16
students is randomly selected for the class then the probability that the average weight of group is less
than 75 (table value at z=2 is 0.48)

Ans-0.98 Pg 111

Total of Probability distribution is 1. On the left side of the zero point curve Probability is 0.5 and right
side is also 0.5. Z value 0.48 means P (Z)= 0.5 + 0.48 =0.98 or alternatively you may say , rejection
region is 0.5-0.48=0.02 and acceptance region is –0.02=0.98

6. A coin is tossed twice . It could be head or tails each time there are 4 combinations are they –

Ans- collectively exhaustive mutually exclusive

Coin tossing is ,mutually exclusive ( if head come tail wont come, if tail come head wont come)

Collectively exhaustive ( either head will come or tail will come no third option)

7. There are 12 horses in a race. A and B are two of those Horses. Each horse has an equal chance
of winning. Let the probability of A winning the race be 0.2 ,.What is the probability that B wins the race if
the probabilities of others are equal?

Ans-0.07

12 horses, probability of 1st =0.2, probability of winning of rest 11= 1-0.2=0.8

Since rest 11 has same probability, probability of 1 will be =0.8/11=0.072

8. From a population which is not normally distributed and whose standard deviation is not known, a
sample of 20 items in selected to develop and interval estimate for M
Ans. The T distribution with 19 degrees of Freedom must be used

9. The data-set 12,13,27,18,32 is-

Ans- Right skewed

Concentration of data set is on the left side and hence tail will be on the left side

10. The interquartile range is the difference between-

Ans- third and first quartile

11. Same Q2

12. Consider a set of 18 Samples from a standard Normal Distribution. We square each samples and
sum all the squares. The no of degrees of freedom for chi square distribution will be

Ans- 17

Degree of freedom in One column set is N-1 where N is no. of data in a group or column

13. If a dice is tossed twice, how many cases will give the sum of 10

Ans-3

(4,6),(6,4), (5,5)

Total 3 options

14. A fair dice is rolled 10 times, what is the probability that the odd no (1,3,50 will occur )fewer than 3
times

Ans- 0.0547

Odd No. probability =1/2=0.5

Even No. Probability=0.5

Binomial NCX P^X* Q^N-X

N =10

X=0 then 10C0*0.5^0*0.5^10=1*1*0.00097=0.00097

X=1 then 10C1*0.5^1*0.5^9=10*0.5*….=0.0097

X=2 then 10C2*0.5^2*0.5^8=45*…=0.043945

Total of above 3 will be 0.0547

15. The meaning of the term “Heteroscedasticity”

Ans- the variance of the errors is not constant

16. In a two-tail test for the population mean, if the null hypothesis is rejected when the alternative is
true, then

Ans. A correct decision is made

Type-1 error when Null hypothesis true and rejected , Type -2 error when null hypothesis false but
accepted

17. If A and B are two mutually exclusive and exhaustive events with probability of A equal to 0.3,
then find probability of B

Ans -0.7

Exhaustive mean total probability=1

Exclusive means not common and hence Probabilty of B =1-0.3=0.7

18. In order to estimate the avg time spent on the computer terminals per student at a local university,
data were collected for sample of 81busines students over a one week period. Assume the population
standard deviation is 1.2 hrs. The standard error of the mean is

Ans-0.133

Standard error of Mean is Standard Deviation.

We know Standard deviation of Sample is = Standard Deviation of Population/√n

Where n is no. of datapoint in sample

=1.2/√81=1.2/9=0.13

19. The Poisson Probability distribution is a

Ans = Discrete Probability Distribution

Poission and Binomial both are discrete, In poisson Probabity of success is very less and no. of trials are
very high

22.In a simple linear regression to determine whether the slope is statistically significant which test do we
use an alternative of T test

Ans- Chi Square

20. Standard Deviation of regression model is called
Ans. Standard error of the estimate

Standard error is same as standard deviation

23.Calculate Median for the data 20,12,22,24,12,24,26,12

Ans. 21

Sort in ascending order=12,12,12,20,22,24,24,26

Two number are sharing the middle position (since data set has even no. of data)
Take average for finding median=(20+22)/2=21

24.The coefficient of determination is equal to 1 ,then the coefficient of Correlation

Ans- It can either be -1 or +1

25.Which of the following distribution is Continuous

Ans. F Distribution

26.A batch of 5000 electric lamps have a mean life of 1000 hrs and standard deviation of 75 hours.
Assume a normal distribution

Ans .0.16

Z=(X-µ)/ σ

Here X=925, µ=1000, σ=75

Z=(1000-925)/75=1

Refer Z table at Z=1 , Value is 0.8413 hence failure will be 1-0.8413= approx 0.16

27.Values of 3 quartiles from a given Data is given as, first quartile =5,2 nd Quartile =10,3rd Quartile=20,
what is the median of this data

Ans-10

28.In the most recent election, 19 percent of all eligible students voted. If a random sample of 20 students
were surveyed, find the probability that that exactly half voted in the election

Ans- 0.0014

Take binominal formula

Here probibity of Success is P=0.19

N=20, X=10

Probabity= NCX*P^X*Q*N-X
Use this in excel ----- =BINOMDIST(10,20,0.19,false)
Answer you will get=0.001377

30.For a two-tailed testat 98.4% confidence,Z=

Ans-2.41

Ans-2.41

Level of significance =100%-98.4%=1.6%

Since it is a two tailed test, keep Alpha/2=0.8%

Finde Z value at 0.5-0.008=0.492, You will get Z=2.41

You remember those value we discussed may be helpful while selecting options

31.Two-Tailed test of hypothesis for the difference between the means implies that the null hypothesis can
be rejected at

Ans- Either of the two tails of the distribution curve

If it is two tail test, it can be rejected on either side of the tail, if it is left tail test , null hypothesis can be rejected if Z
value is in the left side , if it is right tail test , null hypothesis can be rejected , if z value is in the right tail

Two tail test will be applicable if alternative hypothesis has not equal to symbol, it mean it can go either side, if
Alternative hypothesis has greater than symbol it will have right tail test

32.In a class of 100 students, 60 are male with average weight 70 Kg and 40 female with average weight
60 Kg, what is the average weight of the class?

Ans-66

(60*70Kg+40*60Kg)/100=6600/100=66Kg)

33.Independence means no ___ between the variables under study

Ans- No Relationship

34.If random Variable Z is normally Distributed with Mean 0 and Standard Deviation 1,then what is
P(z>1.96)?
Ans – P(z>1.96)=0.0250

36.Multiple Analysis of Variance (MANOVA) requires

Ans- More than two factors with any number of levels

37.Which of the following does not need to be known in order to compute the P-Value

Ans- the level of significance

38.A frequency distribution is a tabular summary of data showing the

Ans- no of Items in several classes

BS Lot 1

40. If random Variable X is normally distributed with mean 20 and standard deviation 10 then for what
value of x,z score is 2.5
Ans: 45

Z=(X-µ)/ σ

41. From 180 students of a PGDM program 30 opt HR, 50 opt Marketing, 60 Opt Finance rest of the
students opt Operations. What will be the angle corresponding to Operations?
Ans- 80 Degrees
Total 360 degree in Pie Chart
Here toptal student=180 Student
180 student will be covering 360 degree of Pie Chart
One student will be covering 180/360 degree=2 degree
Student of operation operation=180-30-50-60=40
Angle 40*2=80

42.If two dices are thrown once ,what is the probability of not getting the same number on both dice
Ans-0.83
1st dice is roller probalibity of any number =6/6 (here its immaterial to findout probabity as there is no
constrain on any number to come)
2nd dice does not get the same number as first one probabity is 5/6

Probabity of the probem under question= 6/6*5/6=5/6=0.83

43. Probability of hitting a target by a shooter is 0.2. A probability distribution is obtained for the no of
times of hitting the target in 16 attempts by the shooter. What will be the standard deviation of the
distribution?
Ans-1.6
P=0.2
N=16
Q=1-p=0.8
 Standard deviation of Binomial distribution= √npq=√16*0.2*0.8=1.6

45.In the following example null and alternative hypothesis are written as HO sample proportion ≤
0.25 Ha: sample proportion> 0.25, select a statement which holds true

Ans- Null and alternative hypothesis are rightly set to conduct testing

48. In the data set 1,2 ,5 ,7,9,2 by changing the third variable to 6

Ans- mean and median are altered

Third vaiable i.e. 5 is changed to 6, ofcourse mean will be changed

Lets see for Median

Original median

1,2,2,5,7,9

Original median will be average of 2 and 5

Now if 5 Is replaced by 6 , then median will change

Howevever mode is in original question is 2 and will remain same if 5 is replaced by 6

50. A probability distribution obtained from tossing a coin for 20 times, then variance of this distribution
is ?

Ans-5

Variance = npq=20*0.5*0.5=5
BS – Lot 3

53. In ANOVA with 4 groups and total sample size of 44, the computed F statistic is 2.33 In this case, the
p-Value is
Ans- Greater than 0.05

54. A batch of 5000 electric lamps has a mean life of 1000 hrs and standard deviation of 75 hrs. Assume a
normal distribution
Q-How many lamps will fail between 950-1000 hrs
Ans-1250
Z=(X-µ)/ σ

Here X=950, µ=1000, σ=75

Z=(950-1000)/75=50/75=-0.667

For Z=-0.667,
2nd case

Here X=1000, µ=1000, σ=75

Z=0

Our answer is P(950<X<1000)=0.5-0.2515=0.2485

Answer=0.2485*5000=1242

55.If you want to provide a 95% confidence Interval for the mean of a population, the confidence
coefficient is
Ans-0.95

56. Which of the following is robust test

Ans- T Test

57. A bag contains 4 red and 6 blue Balls, 3 balls are drawn at random find the probability that all are RED
Ans-0.03
Total Possibility for drawing 3 balls = 10C3=120
Total cases for drawing 3 red balls
= 4C3=4
Probability=4/120=0.0333
58.The ages in an old-age home are as follows 65,66,67,63,68,69,70,88,91,73,64,71, The mode of ages
in this home is
Ans- Does not exist

59. A test has been used to check the association between height and weight of the students, what test it
could be
Ans – Paired t test

Answer not sure

I am not sure but paired t test be useful here
(Options: t-test, Chi square, ANOVA, Regression)
60. In developing an Interval estimate, if the population standard deviation is unknown

Ans- the sample standard deviation can be used

Kindly check option again, if there is option which include the by the SD of sample, then that should be
correct answer >> Answer corrected

61.Plotting of Mortality percentages in Corona against percentage of population below 65 yields as

Ans- Scatter graph

63- What assumption is being made when we use the T – distribution to perform a hypothesis test
Ans- that the underlying population follows an appropriate Normal Distribution

64- A batch of 5000 electric lamps has a mean life of 1000 hrs and standard deviation of 75 hrs. Assume
a normal distribution
Q- What proportion of lamps will fail before 925 hrs
Ans- 0.16
65. MEAN SQUARE is just another term for variance that is used in the analysis of Variance

66.After computing a confidence Interval the user believes the results are meaningless because the width
of the Interval is too large. Which one of the following is the best recommendation?
Ans- increase the sample size

67.If Null Hypotheses is μ <70 then the test will be

Ans-Right tail

69. The level of Significance

a- can be any positive value
b-can be any value
c-is (1-CONFIDENCE LEVEL) >> Answer
d- can be any value between -1.96 to 1.96

70-Whenever using the T distribution for interval Estimation ( when the sample size is very small), we
must assume that
Ans- the population is approximately NORMAL

71- In a cumulative relative frequency distribution the last class will have a cumulative relative frequency
equal to
Ans- ONE

72. If an interval estimate is said to be constructed at a 90 % confidence level, the confidence coefficient
will be
Ans- 0.9

73. If the coefficient of variation is 40% and the mean is 70 then the variance is
Ans- 784

74.A 95% confidence Interval for a population Mean is determined to be 100-120. If the confidence
Coefficient is reduced to 0.90 the interval for M
Ans- becomes Narrower

75. IN a right skewed data it is found that

Ans- the mean is greater than the Median

76. Probability of hitting a target by a Shooter is 0.7. A probability distribution is obtained for the no of
times of hitting the target in 10 attempts by the shooter. What will be the mean of the distribution?
Ans-7

78.Whenever the population Standard Deviation is unknown and the population has a normal or near-
normal distribution, which distribution is used in developing Interval Estimation
Ans-T Distribution

79. An estimate of a Population parameter that provides an interval of values believed to contain the value
of the parameter is known as the
Ans- Interval Estimates

80.The sampling Error is the

Ans-The difference between the value of the sample mean of the population mean

82. A batch of 5000 electric lamps have a mean life of 1000 hrs and standard deviation of 75 hrs. Assume
a normal distribution
Q. Given the sample mean life, what would the standard deviation have to be to ensure that no more than
20% of lamps fail before 916 hours
Ans-100

84. A lottery is conducted using 3 urns, each Urn contains chips numbered from 0-9.One chip is selected
at random from each Urn. The total no of sample space is
Ans-1000

85. While collecting the secondary data the following need to be borne in mind
Ans- The reliability of the investigator and methods used

86. In testing a hypothesis using chi-square test the theoretical frequencies are based on the
Ans- null hypothesis

87.The J.O. supplies company buys calculators from a non-US supplier.The probability of a defective
calculator is 10% .If 100 calculators are selected at random , what is the expected number of defectives
Ans- 10

88.A value of probabilistic input from a discrete probability distribution

Ans- is the value given by the RAND() function

89. The sales of a product has a probability equal to 0.33that it will be less than 100 units in a month,0.66
that it will be less than 200 units and 1.00 that it will be less than 300 units, the set of alternatives
<100,100-200 and 200-300 are
Ans- collectively exhaustive but not mutually exclusive

90. There is a 60% chance that Part A is supplied by X and 40% chance that it is supplied by Y. The
probability of a part supplied by X being bad is 0.02 and probability of part supplied by Y is 0.05. When I
detect a bad part what is the probability that it is from Company X?
Ans- 0.4

91.Which of the following is required to test a Chi square test hypothesis

a- Chi Square statistic
b- Degrees of freedom
c-level of significance
d-All of these >> Answer

92- Any process that defines a well defined outcome is

a-an event
b-an experiment >> Answer
c-a sample point
d- a sample space

93. In interval estimation, the t distribution is applicable only when

Ans- the sample standard deviation is used to estimate the population standard deviation

BS Lot 4
Q94 - Regression analysis is a statistical procedure for developing a mathematical equation that
describes below
One dependent and one or more independent variables are related

Q95 - We can evaluate the assumption of ___ of the errors by plotting the residuals in the order or
sequence in which the data were collected –
Independence

Q96 - The ability of an interval estimate to contain the population parameter is described by the

Confidence level

Q97 -I have considered only ten times from a sample of 100 only. It is an example of

Coverage Error

Q98 - Which of the following is not true about two-way ANOVA?

Second factor doesnot account for variation between….

Q99 - Fifteen present of the students in a school of business administration are majoring in Economics,
20% in finance, 35% in management, & 30% in accounting. The graphical device(s) which can be used to
present these data is (are):
Both a bar graph and a pie chart

Q100 - In determining the sample size necessary to estimate a population proportion, which of the
following information is not needed?

The mean of the population

Q101 - Name the technique used to make comparisons between all pairs of group
Ans- Marascuilo procedure

Q102 - Chart junk does the following

Distorts the data

Q103 - In determining the sample size necessary to estimate a population proportion, which of the
following information is not needed?
Mean of the population

Q104 - Standard deviation of the regression model is called

Standard error of the estimate

Q105 - Which of the following is not true about the slope of regression line?
Ans Negative value of slope indicates that value of dependent variable decrease as the value of
independent variable decreases

Q106 - Interpolation in regression means

Ans: Predicting the value of dependent variable for a range of values of independent variable
which are obtained only from the data used to develop regression model

Q107 - Two-way contingency table displays the following

Comparing the courts of categorical responses between ….

Q108 - A histogram is said to be skewed to the left if it has a

Longer tail to the left

Q109 - If null hypothesis is u>50, then the test will be

Left tail

Q110 - Which of the following will give the value SST?

Sum of squared deviation of all data values from the overall mean of the data.

Q111 - In the following example null and alternative hypothesis are written as HO sample proportion ≥
50, Ha: sample proportion < 50, select a statement which holds true

Ans- Null and alternative hypothesis are rightly set to conduct testing

Q112 - If a hypothesis is rejected at the 5% level of significance, it

May or may not be rejected at the 1% level

Q113 - A survey sheet contains a person who expressed his preference for a particular brand of cigarette.
In a reply to another question he says that he would not prefer to pay a higher value for the same. His
response should characterised as:
- All of these.

Q114 - If the p-value is less than the level of significance in a two tail test
Null hypothesis should be rejected

Q115 - Find the expectations for a F-distribution variable with v1 = 7 and v2 = 8

Ans 4/3

Q116 - The variance is a measure of dispersion or variability of a random variable. It is a weighted

average of the

Squared deviations from the mean

Q117 - If null hypothesis is U = 100, then the test will be

Two tail test

Q118 - If a hypothesis test leads to the rejection of the null hypothesis

Type 1 error may have been committed

Q119 - A researcher is gathering data from our geographical areas designated south = 1, north = 2, east
= 3, west = 4. The designated geographical regions represent
Qualitative data

Q120 - While studying the heights of a particular population group, I encounter a 7 feet tall person. He will
be called a
An outlier

Q121 - Cluster sampling is

Probability sampling method

Q122 - If several frequency distributions are constructed from the same data set, the distribution with the
widest class width will have the

fewest classes

Q123 - market survey data analysed by a company can be characterized as

Internal and primary data

Q124 - Covariance is an indicator of the following:

(options: Relationship between two variables, product of individual variations, sum of individual
variances, none of these)

Q125 - A pooled variance test to use to determine whether there is a _________

Significant difference between the means

Q126 - LIN are

Linearity
Q127 - A researcher measured the same group of people's physiological reactions while watching horror
films and compared them to when watching erotic films, and a documentary about wildlife. The resulting
data were skewed. What test should be used to analyse the data?

Wilcoxon signed-rank test

Q128 - A researcher measured the same group of people’s physiological reactions while watching horror
films and compared them to when watching comedy films. The resulting data were skewed. What test
should be used to analyse the data?

dependent (or related) t-test.

Q129 - If a hypothesis is not rejected at the 5% level of significance

It will also not be rejected at 1% level

Q130 - A theorem that allows us to use the normal probability distribution to approximate the sampling
distribution to approximate the sampling distribution of sample means and sample proportions whenever
the sample size is large is known as the

Central limit theorem

Q131 - In testing for the differences between the means of 2 independent populations where the
variances in each population are unknown but assumed equal, the degrees of freedom are:
n1+n2-2

Q132 - A test has been used to check that average marks of boys and girls differ significantly. What test it
could be? (This ques is from Lot3)

Chisquare
(Not sure)

----------------------------------------------------------------------------------------------------------------------------------------

All Gyan

Which of the following is an assumption of one-way anova comparing sample from three or
experimental treatments?

Ans-all of the above

____test would be best weather the population means is less than a specified value

Ans- one tail hypothesis

A statement about a population for testing purpose is called___

Ans- hypothesis

___ Is just another team for variance that is used in the analysis of variance

Ans- mean square

In a simple linear regression to determine whether the slope is statistically significant which
test do we use an alternative of t test

Ans- f-test/ none of these

What should be data is assumption for one way anova z-test

Ans- homogeneity of variance/ all of these

Analysis of variance is a statistical method of comparing the ___ of several population

Ans- means

It is known that the variance of a population equal …. A random sample of 121 has been
taken from the population there is a 95 probability that the mean will provide a margin of
error of
Ans- 7.84 or Less

Name the technique used to make comparisons between all pairs of group

Ans- Chisquare

Consider a set of 18 samples from a standard normal distribution we square each sample
and sum all the squares the number of degrees of freedom square distribution will be

Ans- 18

Whenever the population standard deviation is unknown and the population has a normal or
near-normal distribution which distribution is used in developing the interval estimation

Ans- t distribution

ANOM stands for

Ans- analysis of mean

Which of the following distribution is continuous

Ans- F- Distribution

If a null hypothesis is rejected at the 0.025 level significance

Ans- may or may not be rejected at the 0.1 level

For a two-tailed test, sample of 20 at 80% confidence t=

Ans- 1.328

Using an a=0.04 a confidence interval for a population proportion is determined to be 0.65

to 0.75 if the level of significance is decreased the interval population proposition

Ans- becomes wider

A sample of 20 items from a population return unknown s is selected in order to develop an

interval estimate of m which of the following is necessary

Ans- the sample must have a normal distribution

some important assumption must be satisfied by a t test when assumption are related

Ans- all of these

__ is used to measure autocorrelation

Durbin Watson statistic

interval estimation of m or sample size is large

normal distribution

chi square test is extended to compare more than two ___

independent
On which of the following does the critical value for a chi-square static rely.

The degree of freedom

Which parametric test can be used to find the difference in perception about Metro services

We can evaluate the assumption of ———— of the errors by plotting the residuals.

Normality.

in order to estimate average time spend on the computer terminal per student

0.26

8.74 to 9.26 hours

In a simple linear regression to determine whether the slope is statistically significant which
test do we use as an alternative of t test.

1. none of these

Find Variance for an F-Distribution with v1=5 and v2=9.

1.587

In a two-tail test for the population mean, if the null hypothesis is reject
a correct decision is made

In ________ problem solving approach, you define the business objective as

A Cumulative relative frequency distribution shows

the proportion of data items with values less than or equal to the upper limit of each class.

An alternative to critical value approach is

Z value

what is b0 in regression analysis?

The value of the outcome when the predictor variable is zero.

in Hypothesis testing if the null hypothesis has been rejected when the alternative is true

A correct decision is made

A type 1 error occurs when we ————–

reject a true null hypothesis

A two-tailed test is performed at 95% confidence. The p-valueis determined to be 0.09. the
null

should not be rejected

if you assume that the difference scores are randomly and independently selected

on which of the following does the critical value for a chi-square statistic rely

The degrees of Freedom

We can evaluate the assumption of ——– of the errors by plotting the residuals in the order.

Normality

Some important assumptions must be satisfied by a t-test, which assumptionare related to

the samples collected for testing.

All of these

In determining the sample size necessary to estimate a population proportion ,

the mean of the population

The difference between the lower class limits of adjacent classes provided the

class width
For a one-tailed test (upper tail), a sample size of 18 at 95% confidence, t =

1.74

______ is another term for variance that is used in the analysis of variance.

Mean square

Parametric statistical test examples are :

T-test

name a non-parametric procedure when only the homogeneity-of-variance

Kruskai-wallis rank test

An interval estimate is a range of values used to estimate

a population parameter

Which of the following is a robust test?

t-test

______ is to express the desired sample as the statistical sum

Inverse method
Which of the following value of chi-square distribution cannot occur?

-2.45

if you assume that difference scores are randomly and independently selected from a

which test will you use if you have a numerical variable and related samples?

paired t-test

The degrees of freedom for the F-test in a one-way ANOVA are

(c-1) and (n – c )

Children can learn a second language faster before the age of 7. This statement is_____

A one-tailed hypothesis

A statement made about a population for testing purpose is called____

Hypothesis

The following test can be used to determine the type of distribution of any data set.

One sample K-S test

For a one-tailed test (upper tail), a sample size of 26 at 90% confidence, t =

1.316

Poisson distribution is applied for _________

Discrete random variable

for a two tailed test at 86.12% confidence, Z =

1.48

Sum of square errors (SSE) represents:

continous variation

In testing a hypothesis using the chi-square test, the theoretical frequencies are based on
the

Null Hypothesis

We can evaluate the assumption of ———- in the error by constructing a histogram.

Normality

In syntax of linear model Im (formula, data,…) data refers to______

Vector
What assumptions is being made when we use the t-distribution to perform a hypothesis
test?

That the underlying population follows an approximately Normal distribution

F distribution properties fall into which of the following?

A.

The mean of the f- distribution is equal to________

v2 / ( v2-2) for v2>2

In a scatter diagram, a line that provides an approx. of the relationship between

trend line

What would be then consequences for the OLS estimator if heteroscedasticity is present

it will be inefficient

If a null hypothesis is rejected at the gency level of significance

may or may not be rejected at the 0.1 level

Hypothesis test concerning a single parameter is;

All of these
A Tabular method that can be used to summarize the data on two variables simultaneously
is called

crosstabulation

an estimate of a population parameter that providesin interval of values believed to contain

the value of the parameters

Interval estimate

Chi-square is used to analyse:

Frequencies

Data that provide labels or names for categories of like items are known as

Qualitative

whenever using the t distribution in estimation, we must assure that

the population is approximately normal

independent simple random samples are taken to test the difference between

t distribution with 58 degrees of freedom

which of the following statistical tests allows causal inferences to be made?

none of these

For a one-tailed test (upper tail), a sample size of 22 at 95% confidence, t =

-1.717

A 95% confidence interval for a population mean is determined to be 100 to 120.

becomes narrower

which test will you use if you have a numerical variable and

paired t-test

Two-way contingency table displays the following

Comparing the courts of categorical responses between (C)

The p–value

is a probability

LIN are

Linearity

if we change a 95% confidence interval estimate to a 99% confidence

the size of the confidence interval to increase

for a two-tailed at 98.4% confidence, Z =

2.41

Which of the following is not an assumption for simple linear regression?

Multicollinearity

All financial brokers use some version of which Monte Carlo-based

data driven Black box simulator

If a hypothesis is rejected at 95% confidence, if

will always be rejected at 90% confidence

As the sample size increases, the sampling error

decreases

Which of the following distributions is continuous?

F – Distribution
We can evaluate the assumption of ______ in the error by constructing a histogram.

Plotting the residual in the order or sequence.

for a one – tailed test (lower tail) at 93.7% confidence, Z=

-1.53

What is the meaning of the term heteroscedasticity.

The Variance of the errors is not constant

_______ test would test whether the population mean is less than a specific value.

both of these

IF in a linear regression model the train error is zero, then

Couldn’t comment on test error

Find the expectation for a F-distribution variable with v1 = 7 and v2 = 8

4/3

F- test is used if certain conditions are met like

Variance of the two populations are known

What proportion of lamps will fail before 925 hours?

0.16

.78. How many lamps will fail before 900 hrs.

A.4560

How many lamps will fail between 950 and 1000 hrs.

1250

Given the same mean life, what would the standard deviation

100

Which of these are types of simulation models.

both of these

In developing an interval estimate, if the population standard deviation

the sample standard deviation can be used

What should be data anova for one way ANOVA z-test ?

Homogeneity of Variance
As the sample size increases, the sampling error

decreases

if you assume that the difference scores are randomly and independently selected

None of these

when a histogram has a longer tail to the right, it is said to be

skewed to the right

If my null hypothesis is ‘ Dutch people do not differ from English

All of the statement below are plausible alternate hypothesis

In hypothesis testing if the null hypothesis is rejected

the alternative hypothesis is true

In a two-tailed hypothesis test the test statistic is determined to be -2.5. the p-value for this
tets

0.0124

A probability statement about the sampling error is known as the

Precision

A frequency distribution is

a tabular summary of a set of data showing the frequency of items in each of several non
overlapping classes

a pooled variance t test to used to determine whether there is a significant difference

between means

in anova with 4 groups and a total sample size of 44 Greater than 0.05

in a sample of 500 voters, 400 indicated they favour the incumbent governor.The 95%
confidence interval of voters not favouring the incumbent is 0.165 to 0.235

● A problem-solving approach, you define te business objective as determining whether

there is a difference in the mean

1. Arlingtons scenario
2. Dcova
3. Pool variance T test
4. None of these

● For a one-tailed test ( lower tail) at 89.8% confidence , Z=

1. -1.27
2. -1.53
3. -1.96
4. -1.64

● The confidence associated with an interval estimated is called the

1. Significance
2. Degree of association

● Confidence level

1. Precision
---------------------------------------------------------------------------------------------------------------------------------------

Assignments

Q1. A simple index is obtained by dividing the current value of a time series by the value of a time series
in the _____________ time period and by multiplying this ratio by 100.
Select one:
a. shortest
b. current
c. base
d. final

Q2. In hypothesis testing, to conduct comparison of mean μ1 of random sample (from population 1) is
more often than mean μ2 of random sample (from population 2) whether, both come from two different
population or same population, alternate hypothesis can be framed as;
Select one:
a. m1≤m2
b. m1&gt;m2
c. m1≥m2
d. m1&lt;m2

Q3. The important characteristics of random numbers is

Select one:
a. random numbers should be replicable
b. the routine must be fast
c. the routine should have sufficiently long cycle
d. All of the alternatives are correct.

Q4. In hypothesis testing, to conduct comparison of mean μ1 of random sample (from population 1) is
more often than mean μ2 of random sample (from population 2) whether, both come from two different
population or same population. Suppose standard deviation σ1 and σ2 are known, α= .01, then what
could be the critical z value;
Select one:
a. 2.33
b. -2.58
c. -1.96
d. 1.28

Q5. A weighted aggregate price index where the weight for each item is its base-period quantity is
known as the
Select one:
a. Laspeyres
b. weight index
c. Quantity index
d. Paasche
Q6. In hypothesis testing, to conduct comparison of mean μ1 of random sample (from population 1) is
more often than mean μ2 of random sample (from population 2) whether, both come from two different
population or same population, null hypothesis can be framed as;
Select one:
a. m1&gt;m2
b. m1≥m2
c. m1&lt;m2
d. m1≤m2

Q7. Number of steps required in Monte Carlo simulation

Select one:
a. 4
b. 5
c. 6
d. 3

Q8. In the following example, null and alternative hypotheses are written as.
Ho: sample mean ≤ 150
Ha: sample mean > 150
Select a statement which holds true.
Select one:
A. Null and alternative hypotheses are rightly set to conduct testing.
B. Null and alternative hypotheses are not mutually exclusive.
C. Null and alternative hypotheses not set for population parameter.
D. Null and alternative hypotheses not collectively exhaustive.

Q9. Select statement which holds true for a statistical hypothesis;

Select one:
a. Statistical hypothesis is a generalized statement about population parameter.
b. Statistical hypothesis is any random statement made by researcher.
c. Statistical hypothesis is a generalized statement about sample statistics.
d. Statistical hypothesis is a statement about sample.

Q10. In the following example, null and alternative hypotheses are written as.
Ho: μ = 10
Ha: μ ≠ 10
Select a statement which holds true.
Select one:
A. Test is two tail test.
B. Test is left tail test
C. Test is one tail test
D. Test is no tail test

Q11. The uncontrollable inputs in simulation are

Select one:
a. variable lead time
b. both daily demand and variable lead time
c. none of these
d. daily demand

Q12. In hypothesis testing, comparison of means of two random samples is conducted whether, both
come from two different population or same. Suppose standard deviation σ1 and σ2 are known, α = .01,
then what could be the critical z value;
Select one:
a. -1.28 and 1.28
b. -2.33 and 2.33
c. -2.58 and 2.58
d. -1.96 and 1.96

Q13. The controllable inputs in simulation are

Select one:
a. order quantity
b. none of these
c. both order quantity and reorder points
d. reorder points

Q14. Since a(n) ____________ index employs the base-period quantities in all succeeding periods, it
allows for ready comparisons for identical quantities of goods purchased between the base period and
all succeeding periods
Select one:
a. simple
b. Laspeyres
c. Paasche
d. aggregate

Q15. Consumer Price Index is

Select one:
a. an index that is designed to measure changes in production levels over time.
b. an index that is designed to measure changes in quantities over time.
c. a weighted aggregate price index where the weight for each item is its last-period quantity.
d. a weighted aggregate price index where the weight for each item is its current-period quantity.

Q16. In hypothesis testing we need to define first;

Select one:
a. Null and alternate hypothesis
b. Sample size
c. Type of error
d. Level of significance

Q17. A major drawback of the aggregate price index is that

Select one:
a. it does not take into account the fact that some items in the market basket are purchased more
frequently than others.
b. it is computed by using the values from a single time series or based on a single product
c. it is difficult to compute
d. percentage comparisons cannot be made to the base year.
Q18. In the following example, null and alternative hypotheses are written as.
Ho: μ≤ 11
Ha: μ > 10
Select a statement which holds true.
Select one:
A. Null and alternative hypotheses are rightly set to conduct testing.
B. Null and alternative hypotheses are not mutually exclusive.
C. Null and alternative hypotheses not set for population parameter.
D. Null and alternative hypotheses not collectively exhaustive

Q19. In hypothesis testing, comparison of means of two random samples is conducted whether, both
come from two different population or same. Suppose standard deviation σ1 and σ2 are known, α= .05,
then what could be the critical z value;
Select one:
a. -1.96 and 1.96
b. -1.28 and 1.28
c. -2.58 and 2.58
d. -2.33 and 2.33

Q20. In hypothesis testing, what is the assumption about null hypothesis?

Select one:
a. Null hypothesis is true
b. Null hypothesis cannot be rejected.
c. Null hypothesis is always true
d. Null hypothesis is false

Q21. The price relative is a price index that is determined by

Select one:
a. (price in period t/base period price)(100)
b. (price in period t + base period price)(100)
c. (base period price/price in period t)(100)
d. (price in period t)(100)

Q22. Static simulation is generally referred as

Select one:
a. Monte carlo
b. continuous
c. stochastic
d. deterministic

Q23. In the following example, null and alternative hypotheses are written as.
Ho: μ≤ 10
Ha: μ > 10
Select a statement which holds true.
Select one:
A. Test is two tail test.
B. Test is left tail test
C. Test is one tail test
D. Test is no tail test

Q24. Simulation is used when

Select one:
a. project is very complicated
b. All of the alternatives are correct.
c. project is risky
d. there is huge cost involved

Q25. Monte Carlo simulation can be applied to which models

Select one:
a. service times
b. number of employees absent
c. All of the alternatives are correct.
d. times between failures

Q26. In hypothesis testing, to conduct comparison of means of two random samples whether, both
come from two different population or same, null hypothesis can be framed as;
Select one:
a. m1≤m2
b. m1≥m2
c. m1=m2
d. m1≠m2

Q27. In hypothesis testing, to conduct comparison of means of two random samples whether, both
come from two different population or same, alternate hypothesis can be framed as;
Select one:
a. m1≥m2
b. m1=m2
c. m1≠m2
d. m1≤m2

Q28. In hypothesis testing, comparison of means of two random samples is conducted whether, both
come from two different population or same. Suppose standard deviation σ1 and σ2 are known, α= .10,
then what could be the critical z value;
Select one:
a. -2.58 and 2.58
b. -1.96 and 1.96
c. -1.28 and 1.28
d. -2.33 and 2.33

Q29. A monthly price index that uses the price changes in consumer goods and services for measuring
the changes in consumer prices over time is known as the
Select one:
a. Paasche Index
b. Laspeyres Index
c. Consumer Price Index
d. Producer Price Index

Q30. A price index for a given item which is computed by dividing a current unit price by a base-period
unit price and multiplying the result by 100 is known as the
Select one:
a. Price relative
b. Consumer price index
c. Paasche index
d. Producer price index

Q31. Suppose that the sample regression line of the first-order model is. If we examine the relationship
between y and x1 for four different values of x2, we observe that the:
a. cannot answer this question without more information.
b. effect of x1 and y remains the same no matter what the value of x2.
c. effect of x1 on y remains the same no matter what the value of x1.
d. only difference in the four equations produced is the coefficient of x2.

Q32. Suppose we wish to test H0: µ = 45 vs. H1: µ > 45. What will result if we conclude that the mean is
greater
than 45 when the actual mean is 50?
a. We have made a Type I error.
b. We have made the correct decision
c. We have made both a Type I error and a Type II error.
d. We have made a Type II error.

Or

Q32. Suppose we wish to test H0: m = 45 vs. H1: m > 45. What will result if we conclude that the mean is
greater
than 45 when the actual mean is 50?
a. We have made a Type I error.
b. We have made the correct decision
c. We have made both a Type I error and a Type II error.
d. We have made a Type II error.

Q33. A robust estimator is one that is:

Select one:
a.unbiased and symmetrical about zero.
b.consistent and is also mound-shaped.
c.efficient and less spread out.
d.not sensitive to moderate nonnormality.

Q34. Which of the following is not an advantage of multiple regression as compared with analysis of
variance?
Select one:
a. Multiple regression handles problems with more than two independent variables easier than analysis
of variance.
b. All of these choices are true are advantages of multiple regression as compared with analysis of
variance
c. Multiple regression handles nominal variables better than analysis of variance.
d. Multiple regression can be used to estimate the relationship between the dependent variable and
independent variables.

Q35. The hypothesis of most interest to the researcher is:

Select one:
a. the null hypothesis.
b. both hypotheses are of equal interest.
c. the alternative hypothesis.
d. Neither hypothesis is of interest.

Q36. Index for base period is always taken as:

Select one:
a. 1
b. 200
c. 10
d. 100

Q37. In testing the difference between the means of two normal populations using two independent
samples when the population variances are unequal, the sampling distribution of the resulting statistics
is:
Select one:
a. approximately normal.
b. approximately student-t.
c. normal.
d. student-t.

Q38. If we reject the null Hypothesis when it is false, then we have committed:
Select one:
a. both a Type I error and a Type II error.
b. a Type I error.
c. Neither a Type I error nor a Type II error.
d. a Type II error.

Q39. A value for probabilistic input from a discrete probability distribution

Select one:
a. must be non-negative.
b. is given by matching the probabilistic input with an interval of random numbers.
c. is the value given by the RAND() function.
d. is between 0 and 1.

Q40. The level of significance can be:

Select one:
a. None of these choices.
b. any number greater than 1.96 or less than -1.96
c. any number greater than zero.
d. any number between -1.0 and 1.0

Q41. Which of the following probabilities is equal to the significance level a?

Select one:
a. Probability of making a Type I error.
b. Probability of making a Type II error.
c. Probability of rejectingH0when you are supposed to.
d. Probability of not rejectingH0when you shouldn't

Q42. A Type I error is committed if we make:

Select one:
a. a correct decision when the null hypothesis is true.
b. an incorrect decision when the null hypothesis is false.
c. an incorrect decision when the null hypothesis is true.
d. a correct decision when the null hypothesis is false.

Q43. In testing the difference between two population means for which the population variances are
unknown and not assumed to be equal, two independent samples are drawn from the populations,
which of the following test is appropriate?
a. None of these choices
b. unequal variances t-test
c. z-test
d. pooled-variances t-test

Q44. A Type II error is defined as:

Select one:
a. not rejecting a true null hypothesis
b. rejecting a false null hypothesis
c. rejecting a true null hypothesis
d. not rejecting a false null hypothesis

Q45. Values for the probabilistic inputs to a simulation

Select one:
a. are selected by the decision maker.
b. are controlled by the decision maker.
c. are randomly generated based on historical information.
d. are calculated by fixed mathematical formulas.

Q46. A Quality that is difficult to measure with certainty is called a

Select one:
a. project determinant
b. risk analysis
c. profit/loss process
d. probabilistic input

Q47. The expected value of the difference of two sample means equals the difference of the
corresponding population means when:
a. the sample are independent.
b. the populations are approximately normal and the sample sizes are large.
c. the populations are normally distributed.
d. All of these choices are true.

Q48. What prices are measured using the consumer price index?
Select one:
a. Goods only
b. Services only
c. Both Goods and Services.
d. None of the above.

Q49. A spouse suspects that the average amount of money spent on Christmas gifts for immediate family
members is above $1,200. The correct set of hypotheses is:
Select one:
a. H0:m &I≠1200 vs. H1:m=1200
b. H0:m = 1200 vs. H1:m &g≠1200
c. H0: m&g ≠ 1200 vs. H1:m=1200
d. H0:m =1200 vs. H1:m &I≠1200

Q50. In testing the difference between the means of two normally distributed populations, the number
of degrees of freedom associated with the unequal variances t-test statistic usually results in a non-
integer number. It is recommended that you:
Select one:
a. Change the sample sizes until the number of degrees of freedom becomes an integer.
b. assume that the population variances are equal and then us df=n1+n2-2.
c. round to the nearest integer.
d. none of these choices.

Q51. The t-test for the difference between the means of two independent populations assumes that the
respective:
Select one:
a. means are equal.
b. sample sizes are equal.
c. populations are normal.
d. All of these choices are true.

Q52. A completely randomized design

Select one:
a. has one factor and one block
b. has only one factor with several treatment groups
c. can have more than one factor, each with several treatment groups.
d. has one factor and one block and multiple values

Q53. In testing a hypothesis using the chi square test, the theoretical frequencies are based on the
Select one:
a. normal distribution
b. null hypothesis
c. None of the above
d. alternative hypothesis

Q54. If we are testing for the difference between the means of two independent populations with equal
variances, samples of n1=15 and n2=15 are taken, then the number of degrees of freedom is equal to
Select one:
a. 28
b. 13
c. 14
d. 29

Q55. In testing for the differences between the means of two independent populations where the
variances in each population are unknown but assumed equal the degrees of freedom is:
Select one:
a. n1+n2-1
b. n1+n2
c. n1+n2-2
d. None of these choices

Q56. Which of the following conclusions is not an appropriate conclusion from a hypothesis test?
Select one:
a. Accept H0. Sufficient evidence to support Ho.
b. All of these choices are true.
c. Reject H0. Sufficient evidence to support H1.
d. Fail to reject H0. Insufficient evidence to support H1.

Q57. For statistical inference about the mean of a single population when the population standard
deviation is unknown, the degrees for freedom for the t-distribution equal n-1 because we lose one
degree of freedom by using the:
Select one:
a. sample proportion as an estimate of the population proportion.
b. sample size as an estimate of the population size.
c. sample mean as an estimate of the population mean.
d. sample standard deviation as an estimate of the population standard deviation

Q58. According to____________, “Index numbers are devices for measuring differences in the
magnitude of a group of related variables.”
Select one:
a. Both (a) ad (b)
b. Croxton and Cowden
c. None of the above
d. Spiegel

Q59. The probability of a Type I error is denoted by:

Select one:
a. 1-b
b. a
c. b
d. 1-a
Q60. The probability of a Type II error is denoted by:
Select one:
a. 1-a
b. a
c. b
d. 1-b

Q61. The greatest strength of simulation is:

Select one:
a. to achieve goal
b. none of these
c. to answer what if questions
d. to validate the model

Q62. In hypothesis testing, to conduct comparison of means of two random samples whether, both
come from two different population or same, alternate hypothesis can be framed as;
Select one:
a. m1≥m2
b. m1≤m2
c. m1=m2
d. m1≠m2

Q63. In the following example, null and alternative hypotheses are written as.
Ho: µ≤ 10
Ha: μ > 10
Select a statement which holds true.
Select one:
A. Null and alternative hypotheses are same.
B. Null and alternative hypotheses are mutually exclusive
C. Null and alternative hypotheses not right
D. Null and alternative hypotheses cannot be tested