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mathematics
basic business statistics
Questions and Answers of
Basic Business Statistics
The file FTMBA contains data from a sample of full-time MBA programs offered by private universities. The variables collected for this sample are average starting salary upon graduation ($), the
If the coefficient of determination between two independent variables is 0.50, what is the VIF?
If the coefficient of determination between two independent variables is 0.20, what is the VIF?
Using the data of Problem 15.4 on page 600, stored in DomesticBeer , perform either a square-root transformation on the dependent variable (calories) or a square-root transformation on each of the
Researchers wanted to investigate the relationship between employment and accommodation capacity in the European travel and tourism industry. The file EuroTourism contains a sample of 27 European
Is the number of calories in a beer related to the number of carbohydrates and/or the percentage of alcohol in the beer? Data concerning 158 of the best-selling domestic beers in the United States
An experiment was conducted to study the extrusion process of biodegradable packaging foam.Source: Data extracted from W. Y. Koh, K. M. Eskridge, and M. A. Hanna, “Supersaturated Split-Plot
Starbucks Coffee Co. uses a data-based approach to improving the quality and customer satisfaction of its products. When survey data indicated that Starbucks needed to improve its package sealing
Referring to Problem 14.77, suppose that in addition to using ERA to predict the number of wins, the analytics specialist wants to include the league (0 = American, 1 = National) as an independent
HR practitioners are increasing performing gender pay audits to understand whether a gender gap exists at their company. Practitioners examine payroll data for evidence of a gender pay gap. An HR
Professional basketball has truly become a sport that generates interest among fans around the world. More and more players come from outside the United States to play in the National Basketball
What is the difference between least squares regression and logistic regression?
When do you use logistic regression?
When a dummy variable is included in a regression model that has one numerical independent variable, what assumption do you need to make concerning the slope between the dependent variable, Y, and
How can you evaluate whether the slope of the dependent variable with an independent variable is the same for each level of the dummy variable?
Consider the following logistic regression equation:ln (Estimated odds ratio) = 0.1 + 0.5X1i + 0.2X2ia. Interpret the meaning of the logistic regression coefficients.b. If X1 = 2 and X2 = 1.5,
In Problem 14.4 on page 541, you used efficiency ratio and total risk-based capital to predict ROAA at a community bank (stored in CommunityBanks). Using the results from that problem,a. At the 0.05
In Problem 14.5 on page 542, you used alcohol percentage and chlorides to predict wine quality (stored in VinhoVerde). Using the results from that problem,a. At the 0.05 level of significance,
In Problem 14.3 on page 541, you predicted nonprofit charitable commitment, based on nonprofit revenue (Revenue) and fundraising efficiency (Efficiency) for a sample of 98 nonprofit organizations.
The file CEO 2016 includes the total compensation (in $millions) for CEOs of 200 Standard & Poor’s 500 companies and the investment return in 2016.Source: Data extracted from R. Lightner and T.
Refer to the discussion of beta values and market models in Problem 13.49 on page 513. The S&P 500 Index tracks the overall movement of the stock market by considering the stock prices of 500
An analyst has the objective of predicting the return on average tangible common equity (ROATCE) of banks. The analyst begins by using efficiency ratio, a measure of a bank’s ability to turn
You want to develop a model to predict the taxes of houses, based on asking price. A sample of 61 single-family houses listed for sale in Silver Spring, Maryland, a suburb of Washington, DC, is
You want to develop a model to predict the asking price of homes based on their size. A sample of 61 single-family houses listed for sale in Silver Spring, Maryland, a suburb of Washington, DC, is
Can you use movie critics’ opinions to forecast box office receipts on the opening weekend? The following data, stored in Tomatometer , indicate the Tomatometer rating, the percentage of
What is the difference between a confidence interval estimate of the mean response, μY|X = Xi, and a prediction interval of YX = Xi?
When and how do you use the Durbin-Watson statistic?
What are the assumptions of regression analysis?
What is the interpretation of the coefficient of determination?
In Problem 13.6 on page 494, a prospective MBA student wanted to predict starting salary upon graduation, based on program per-year tuition. The data are stored in FTMBA.Is an MBA a golden ticket?
Index funds are mutual funds that try to mimic the movement of leading indexes, such as the S&P 500 or the Russell 2000. The beta values (as described in Problem 13.49) for these funds are
The volatility of a stock is often measured by its beta value. You can estimate the beta value of a stock by developing a simple linear regression model, using the percentage weekly change in the
In Problem 13.10 on page 494, you used YouTube trailer views to predict movie weekend box office gross from data stored in Movie. Use the results of that problem.A box office analyst seeks to predict
In Problem 13.6, a prospective MBA student wanted to predict starting salary upon graduation, based on program per-year tuition. The data are stored in FTMBA . Use the results of that problem.Is an
What is the relationship between the price of crude oil and the price you pay at the pump for gasoline? The file Oil & Gasoline contains the price ($) for a barrel of crude oil (Cushing,
In Problem 13.5 on page 493, you used the summated rating to predict the cost of a restaurant meal. Perform a residual analysis for these data (stored in Restaurants). Evaluate whether the
In Problem 13.10, you used YouTube trailer views to predict movie weekend box office gross (stored in Movie). Using the results of that problem,Source: Data extracted from “Box Office Report,”
If SSR = 120, why is it impossible for SST to equal 110?
If SSE = 10 and SSR = 30, compute the coefficient of determination, r2, and interpret its meaning.
If SSR = 66 and SST = 88, compute the coefficient of determination, r2, and interpret its meaning.
If SSR = 36 and SSE = 4, determine SST and then compute the coefficient of determination, r2, and interpret its meaning.
How do you interpret a coefficient of determination, r2, equal to 0.80?
A box office analyst seeks to predict opening weekend box office gross for movies. Toward this goal, the analyst plans to use YouTube trailer views as a predictor. For each of 66 movies, the YouTube
In a one-way ANOVA, what is the difference between the among-groups variance MSA and the within-groups variance MSW?
A glass manufacturing company wanted to investigate the effect of breakoff pressure and stopper height on the percentage of breaking off chips. The results, stored in Glass1 , were as follows:At the
A plastic injection molding process is often used in manufacturing because of its ability to mold complicated shapes. An experiment was conducted on the manufacture of a television remote part, and
An experiment was conducted to study the extrusion process of biodegradable packaging foam. Two of the factors considered for their effect on the unit density (mg>ml) were the die temperature (145
The annual NFL Super Bowl is the most widely watched sporting event in the United States each year. In recent years, there has been a great deal of interest in the ads that appear during the game.
The file MobileCommerce contains mobile commerce penetration values (the percentage of the country population that bought something online via a mobile phone in the past month) for twenty-eight of
The file Credit Scores contains the average credit scores of people living in 2,750 American cities.Source: Data extracted from bit.ly/2oCgnbi.a. Select five different samples of n = 2, n = 5, n =
The major stock market indexes had strong results in 2016. The mean one-year return for stocks in the S&P 500, a group of 500 very large companies, was +9.54%. The mean one-year return for the
As player salaries have increased, the cost of attending basketball games has increased dramatically. The file NBACost contains the cost of four tickets purchased on the secondary market, two beers,
One theory concerning the Dow Jones Industrial Average is that it is likely to increase during U.S. presidential election years. From 1964 through 2016, the Dow Jones Industrial Average increased in
In Example 5.4 on page 209, you and two friends decided to go to Wendy’s. Now, suppose that instead you go to Burger King, which recently filled approximately 90.5% of orders correctly. What is the
Chartered Institute of Personnel and Development (CIPD) provides commentary and insight about the trends and challenges facing the HR profession in its HR Outlook Report. The report represents the
The following table shown in the file TextbookCosts shows the breakdown of the costs of a typical college textbook.a. Using the categories of publisher, bookstore, and author, construct a bar chart,
Construct an ordered array, given the following stem-and-leaf display from a sample of n = 7 midterm exam scores in information systems: 446 19 2.
Zagat’s publishes restaurant ratings for various locations in the United States. The file Restaurants contains the Zagat rating for food, décor, service, and the cost per person for a sample of
Business leaders around the world are becoming aware of the huge potential of digital transformation. Fujitsu conducted as global survey to find out more about how business leaders are responding to
Under what conditions should you use the Kruskal-Wallis rank test instead of the one-way ANOVA?
Under what conditions should you use the Wilcoxon rank sum test instead of the t test for the difference between the means?
Under what conditions should you use the x2 test of independence?
Under what conditions should you use the x2 test to determine whether there is a difference among the proportions of more than two independent populations?
Under what conditions should you use the x2 test to determine whether there is a difference between the proportions of two independent populations?
QSR magazine reports on the largest quick-serve and fast-casual brands in the United States. The file FastFoodChain contains the food segment (burger, chicken, sandwich, or pizza/pasta) and U.S. mean
What is the upper-tail critical value from the chi-square distribution if you use the Kruskal-Wallis rank test for comparing the medians in six populations at the 0.01 level of significance?
The annual NFL Super Bowl is the most widely watched sporting event in the United States each year. In recent years, there has been a great deal of interest in the ads that appear during the game.
The lengths of life (in hours) of a sample of 40 6-watt light emitting diode (LED) light bulbs produced by Manufacturer A and a sample of 40 6-watt LED light bulbs produced by Manufacturer B are
Is there a difference in the satisfaction rating of traditional cellphone providers who bill for service at the end of a month often under a contract and prepaid cellphone service providers who bill
In Problems 12.32 and 12.33, what is your statistical decision? Sample 1: n, = 5 1.1 2.3 2.9 3.6 14.7 Sample 2: n2 = 6 2.8 4.4 4.4 5.2 6.0 18.5
From Problem 12.32, at the 0.05 level of significance, determine the lower-tail critical value for the Wilcoxon rank sum test statistic, T1, if you want to test the null hypothesis, H0: M1 ≥ M2,
In Problems 12.29 and 12.30, what is your statistical decision? Sample 1: n1 = 7 Assigned ranks: 4 1 825 10 11 Sample 2: n2 = 9 Assigned ranks: 7 16 12 9 3 14 13 6 15
In Problem 12.29, what are the lower- and upper-tail critical values for the test statistic T1 from Table E.6 if you use a 0.05 level of significance and the alternative hypothesis is H1: M1 ≠ M2?
The following information is available for two samples selected from independent populations:Sample 1: n1 = 7 Assigned ranks: 4 1 8 2 5 10 11Sample 2: n2 = 9 Assigned ranks: 7 16 12 9 3 14 13 6
PwC takes a closer look at what CEOs are looking for and are finding as new sources of value in their businesses and industries. Based on a 2017 Global CEO survey, CEOs are categorized by the main
What makes sales leaders tick? Mercuri International conducted a study to explore sales strategies, processes, and support systems within businesses. Organizations were categorized by sales
How often do Facebook users post? A study by the Pew Research Center revealed the following results:At the 0.01 level of significance, is there evidence of a significant relationship between
A Gallup survey across generations of workers gathered data on engagement at work. The results for a sample of 1,000 workers are as follows:At the 0.05 level of significance, is there evidence of a
The MSCI 2016 Survey of Women on Boards Survey showed that there continues to be a slow increase in the overall percentage of women on boards globally. The study reported that 69 of 70 (99%) French
What kinds of activities do you engage in when using a device while viewing video content on a TV screen? An IAB and MARU Matchbox study captured multitasking activities of adults who use different
An Employee Value Proposition (EVP) is about defining the essence of a company. The EVP is the value an employee receives from the employer; it defines the commitment the company will make to develop
Does co-browsing have positive effects on the customer experience? Co-browsing refers to the ability to have a contact center agent and customer jointly navigate an application (e.g., web page,
What social media tools do marketers commonly use? A survey by Social Media Examiner of B2B marketers (marketers that focus primarily on attracting businesses) and B2C marketers (marketers that
The Society for Human Resource Management (SHRM) collaborated with Globoforce on a series of organizational surveys with the goal of identifying challenges that HR leaders face and what strategies
Are you an impulse shopper? A survey of 500 grocery shoppers indicated that 29% of males and 40% of females make an impulse purchase every time they shop.Assume that the survey consisted of 250 males
A glass manufacturing company wanted to investigate the effect of zone 1 lower temperature (630 vs. 650) and zone 3 upper temperature (695 vs. 715) on the roller imprint of glass. The results stored
Brand valuations are critical to CEOs, financial and marketing executives, security analysts, institutional investors, and others who depend on well-researched, reliable information needed for
One of the steps involved in the processing of corn flakes for cereals involves toasting the flakes. The file CornFlakes contains the following data for corn flakes thickness (mm) for four different
Referring to the results of Problems 10.67 and 10.68 concerning the weight and granule loss of Boston and Vermont shingles, write a report that summarizes your conclusions.
Market data indicates that smartphone users are very concerned about the battery life of their smartphones. An experiment is conducted in which the battery life of a newly designed smartphone battery
The lengths of life (in hours) of a sample of 40 6-watt light emitting diode (LED) light bulbs produced by manufacturer A and a sample of 40 6-watt light emitting diode (LED) light bulbs produced by
Do males and females differ in the amount of time they spend online and the amount of time they spend playing games while online? A study reported that women spent a mean of 1,254 minutes per week
The American Society for Quality (ASQ) conducted a salary survey of all its members. ASQ members work in all areas of manufacturing and service-related institutions, with a common theme of an
Under what conditions should you use the paired t test for the mean difference between two related populations?
What is the distinction between repeated measurements and matched items?
Under what conditions should you use the pooled-variance t test to examine possible differences in the means of two independent populations?
A taxicab company has been receiving an increasing number of complaints concerning the delay time between when a call for a taxicab is received and when the passenger is picked up. The file
We Are Social and Hootsuite reported that the typical American spends 2.02 hours (121 minutes) per day accessing the Internet through a mobile device.Source: Digital in 2017 Global Overview,
Accounting Today identified top accounting firms in 10 geographic regions across the United States. All 10 regions reported growth in 2016. The Southeast and Gulf Coast regions reported growths of
Is there a difference in the variance of the satisfaction rating of traditional cellphone providers who bill for service at the end of a month (often under a contract) and prepaid cellphone service
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