Deck 12: Business Statistics and Regression Analysis

Question 1

If a product is tested 100 times and the rate at which it fails is recorded on a scale of 1 to 10,then the average of all the product's failure rates on the scale could be useful.This is an example of ________ data.

A)nominal
B)ordinal
C)interval
D)ratio

Answer 1

B

Question 2

All of the following statements are TRUE regarding variance EXCEPT:

A)The higher the variance calculation the more dispersed the data set.
B)Variance is most useful because its value is in the same unit as the median and therefore easier to interpret.
C)Variance provides a more accurate picture of the dispersion of a data set than a range.
D)Due to the way variance is calculated, the value is not in the same units as the mean.

Answer 2

B

Question 3

________ is the likelihood that some event will occur based on what is already known.

A)Descriptive statistics
B)Probability
C)Inferential statistics
D)Statistics

Answer 3

B

Question 4

________ are only useful with discrete data that is sorted in either ascending or descending order.

A)Means
B)Medians
C)Modes
D)Central tendencies

Question 5

A(n)________ describes all the possible values and likelihoods that a given variable can be within a specific range,and they can be in the form of a graph,table,or formula.

A)continuous variable
B)probability distribution
C)observational unit
D)discrete variable

Question 6

All of the following statements are TRUE about the language of statistics EXCEPT:

A)Business professionals rely heavily on inferential distributions.
B)Statistics often refer to populations and samples.
C)Businesses can use various statistical methods in many areas to get a better understanding of the organization.
D)Statistics can be used to determine effectiveness of advertising campaigns, to understand what factors contribute to the demand for your products, to spot seasonal trends in the sales of certain products, and much more.

Question 7

The spa manager surveys 100 random customers about their opinions on a new service being offered at the spa.Based on the results of that random sample,managers at the spa can make assumptions about whether or not the new spa service would go over well.This is an example of ________.

A)descriptive statistics
B)probability
C)inferential statistics
D)statistics

Question 8

To calculate the ________,sum of all values in a data set and divide by the total number of values.

A)mean
B)mode
C)variance
D)median

Question 9

________ data measures the size of the difference between values.

A)Nominal
B)Ordinal
C)Interval
D)Ratio

Question 10

The spa manager uses data such as number of soaps in a box and the number of different services the spa offers its customers.These are examples of ________.

A)probability distributions
B)discrete variables
C)continuous variables
D)populations

Question 11

________ is a calculation used in statistics to determine how far the data set varies from the mean.

A)Variance
B)Range
C)Standard deviation
D)Central tendency

Question 12

All of the following statements are TRUE about basic statistical methods to business EXCEPT:

A)With so much data so easily available, it is becoming increasingly important that people in business understand how to use that data to make good, strategic decisions.
B)Statistical methods can be used to analyze business data to support good decision making.
C)Statistics can be used to determine effectiveness of advertising campaigns, to understand what factors contribute to the demand for your products, to spot seasonal trends in the sales of certain products, and much more.
D)The more random the sample, the less accurate the statistical analysis will be, in part, because randomness eliminates bias.

Question 13

________ is the practice of collecting,analyzing,and interpreting data.

A)Descriptive statistics
B)Probability
C)Inferential statistics
D)Statistics

Question 14

If a manager learns that product 1 failed after 15 tests and product 2 failed after only 5,then ________ data could state that product 1 passed three times as many tests as product 2.

A)nominal
B)ordinal
C)interval
D)ratio

Question 15

All of the following statements are TRUE regarding the RAND function EXCEPT:

A)The RAND function in Excel is one method that can help with creating a random sample.
B)The RAND function does not have any arguments.
C)Randomness in selecting a sample from a population is crucial in conducting effective and accurate statistical analyses.
D)The RAND function generates a random letter between A and Z.

Question 16

Calculating the range,variance,and standard deviation of a data set are all methods used to determine the ________ of a data set.

A)concentration
B)dispersion
C)standard deviation
D)central tendency

Question 17

The spa calculates the total revenue that a spa package generates over the course of a year.This is an example of ________.

A)descriptive statistics
B)probability
C)inferential statistics
D)statistics

Question 18

________ variables are often used to categorize responses in a survey.

A)Nominal
B)Ordinal
C)Interval
D)Ratio

Question 19

The spa manager uses data such as time between sales transactions,the weight of a package for shipping,and the amount of money a customer spends in any given visit.These are examples of ________.

A)probability distributions
B)discrete variables
C)continuous variables
D)populations

Question 20

Finding the central tendency may lead to incorrect assumptions about the data due to possible ________.

A)variance
B)central tendency
C)standard deviation
D)outliers

Question 21

Since the FREQUENCY function is an array function,once it is typed into a cell you must press ________ + Enter in order for it to calculate properly.

A)Ctrl + Shift
B)Ctrl + Alt
C)Ctrl
D)Alt + Shift

Question 22

The ________ distribution is a discrete probability function that has wide business applications.

A)normal
B)exponential
C)binomial
D)Poisson

Question 23

The ________ provides a more conservative estimate of the independent variable's ability to predict the value of the dependent variable.

A)R square value
B)correlation coefficient
C)regression analysis
D)intercept coefficient

Question 24

The ________ distribution is a discrete probability distribution that is used to model the number of successful trials based on the total number of trials and the rate of success.

A)normal
B)exponential
C)binomial
D)Poisson

Question 25

The ________ is the value at which a regression line will cross the y-axis and is used in the slope intercept formula to predict values.

A)R square value
B)correlation coefficient
C)regression analysis
D)intercept coefficient

Question 26

________ characterizes the peakedness or flatness of a distribution compared to the normal distribution.

A)Kurtosis
B)Skewness
C)Standard error
D)Sample variance

Question 27

________ is a method used to predict future values by analyzing the relationships between two or more variables.

A)The R square value
B)The correlation coefficient
C)The regression analysis
D)The intercept coefficient

Question 28

Calculating the correlation coefficient using the ________ function is useful to determine the type and strength of a relationship between two variables.

A)CAUSATION
B)COVARIANCE.S
C)CORREL
D)COVARIANCE.P

Question 29

________ is the average of the variables in the sample.

A)Kurtosis
B)Mean
C)Standard error
D)Median

Question 30

The ________ distribution is a continuous probability function that models the times between events.

A)normal
B)exponential
C)binomial
D)Poisson

Question 31

Correlation coefficient values are easy to interpret,but it is often more powerful to create a ________ chart that illustrates that relationship visually.

A)matrix
B)quick analysis
C)histogram
D)scatter

Question 32

Managers at the Turquoise Oasis Spa are interested in knowing whether there is a relationship between the age of their clients and the amount of money they spend in the spa.Upon analyzing the data,they found a correlation coefficient of .672.Thus,the relationship between the two variables is ________.

A)strong
B)moderate
C)weak
D)very weak

Question 33

________ is a method used to predict future values by analyzing the relationships between two or more variables.

A)Standard deviation
B)Kurtosis
C)Regression analysis
D)Intercept coefficient

Question 34

All of the following statements are TRUE about finding relationships in data EXCEPT:

A)The covariance and correlation formulas are used to describe linear relationships between data.
B)Covariance is a formula that can calculate the relationship between two variables, like age and dollars spent as well as the direction of the relationship.
C)The correlation formula produces a value between -.1 and 1 that is called the correlation coefficient.
D)The correlation coefficient is represented by the letter "r" in statistics and is a unitless value that describes the strength and direction of a relationship between two variables.

Question 35

________ is the middle value(s)when all the values of the sample are sorted in ascending order.

A)Kurtosis
B)Mean
C)Standard error
D)Median

Question 36

All of the following statements are TRUE regarding probability distribution EXCEPT:

A)Small businesses tend to experience more volatility than large organizations and can therefore benefit greatly from using probability distributions to estimate future outcomes and events.
B)The normal distribution has wide applications in business.
C)Excel offers many probability distribution functions with wide applications across many different industries of business, science, engineering, and mathematics.
D)A normal distribution is one of the least used distributions in statistics.

Question 37

Array functions look different from other functions because ________ are required for the function to calculate correctly.

A)forward slashes \ \
B)pipes | |
C)curly brackets { }
D)square brackets [ ]

Question 38

The Turquoise Oasis Spa places orders for cases of bath salts through a nearby wholesaler.To summarize several orders worth of data,it may prove beneficial to determine how many orders of bath salts were for 1 to 10 cases,between 11 and 20 cases,21 to 30 cases,31 to 40 cases,and more than 40 cases.This is an example of ________.

A)grouping the data into bins
B)calculating variances
C)a probability distributions
D)sample populations

Question 39

A ________ calculates the average of values over time based on specified intervals.

A)standard error
B)sample variance
C)mean
D)moving average

Question 40

A ________ graph is a statistical graph that summarizes the distribution of data and how the data fits into defined bins.

A)Histogram
B)Kurtosis
C)Bin
D)Sample variance

Question 41

The more random the sample,the more accurate the statistical analysis will be,in part,because randomness eliminates bias.

Question 42

A range is the simplest method to calculate the dispersion of a data set and can provide a rough idea of how the data set is dispersed.

Question 43

The Analysis ToolPak allows you to conduct a variety of statistical analyses with ease.

Question 44

Statistics typically describe what has already happened and probability describes what is likely to happen in the future.

Question 45

To calculate the mean in Excel,the AVERAGE function is used.

Question 46

When creating a frequency table using the FREQUENCY function,you must select a range of cells that is one more than the cells containing the bin values.

Question 47

Inferential statistics is the process of deriving meaningful information from raw data.

Question 48

In a data set consisting of gender,salary,and name of employees,the employees are the observational unit and the variables are the gender,salary,and names.

Question 49

Outliers are data that are abnormally different from the other values in a random sample.

Question 50

Descriptive statistics is the process of taking data from a sample of the population and making predictions about the entire population.

Question 51

Interval data measures the size of the difference between values.

Question 52

Subtracting the minimum value from the maximum value provides the range in a data set.

Question 53

Nominal data are useful in situations where it is difficult to obtain accurate measurements.

Question 54

In administering a survey where respondents answer "Yes" or "No" to a specific question,ordinal variables could be used to categorize the responses,such as 1 = Yes and 2 = No.

Question 55

Every time any cell is edited or a new formula is created,the value generated by the RAND function will change.

Question 56

A summary function is a function that can perform multiple calculations on one or more items in an array.

Question 57

Calculating the range,variance,and kurtosis of a data set are all methods used to determine the dispersion of a data set.

Question 58

Array functions are often referred to as "CDE" functions because of the keys pressed to create the function.

Question 59

If you leave the Bin Range box blank,Excel will generate bin values automatically.

Question 60

Ratio data is similar to ordinal data except that the differences between the data can be quantified and proportions can be specified.

Question 61

In business,time between sales transactions,the weight of a package for shipping,and the amount of money a customer spends in any given visit are all examples of ________ variables.

Question 62

Although Excel can automatically generate evenly distributed bin values based on the minimum and maximum values of the input range,it is often better to define your own bins.

Question 63

In business,performance classifications of employees,number of soaps in a box,and the number of different services a spa offers its customers are all examples of ________ variables.

Question 64

Covariance is a formula that can calculate the relationship between two variables,like gender and dollars spent as well as the direction of the relationship.

Question 65

________ is the process of taking data from a sample of the population and making predictions about the entire population.

Question 66

A normal distribution is displayed as a bell curve on a chart.

Question 67

________ typically describe what has already happened and probability describes what is likely to happen in the future.

Question 68

________ is the process of deriving meaningful information from raw data.

Question 69

________ is the practice of collecting,analyzing,and interpreting data.

Question 70

The ________ function generates a random number between 0 and 1.

Question 71

Moving averages can be useful in spotting trends over a period of time by smoothing out any fluctuations that may occur during each consecutive interval.

Question 72

In a data set consisting of gender,salary,and name of employees,the employees are the ________ and the variables are the gender,salary,and names.

Question 73

The correlation coefficient is represented by the letter "c" in statistics and is a unitless value that describes the strength and direction of a relationship between two variables.

Question 74

________ is the likelihood that some event will occur based on what is already known.

Question 75

Each of these calculations,mean,median,and mode,attempt to define the ________ of a data set.

Question 76

________ data are useful in situations where it is difficult to obtain accurate measurements.

Question 77

The R Square value is calculated by squaring the correlation coefficient,labeled as Squared R in the output.

Question 78

The more ________ the sample,the more accurate the statistical analysis will be.

Question 79

A histogram is a statistical graph that summarizes the distribution of data and how the data fits into defined bins.

Question 80

Regression analysis is a method used to predict future values by analyzing the relationships between two or more variables.