File: ch01, Chapter 1: Introduction to Statistics
True/False
1. Virtually all areas of business use statistics in decision making.
Ans: True
Response: See section 1.1, Statistics in Business
Difficulty: Easy
Learning Objective: 1.1: List quantitative and graphical examples of statistics within a business context.
2. The complete collection of all entities under study is called the sample.
Ans: False
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
3. A portion or subset of the entities under study is called the statistic.
,Ans: False
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
4. A descriptive measure of the population is called a parameter.
Ans: True
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
5. A census is the process of gathering data on all the entities in the population.
Ans: True
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
6. Statistics is commonly divided into two branches called descriptive statistics and summary statistics.
,Ans: False
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
7. A descriptive measure of the sample is called a statistic.
Ans: True
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
8. Gathering data from a sample to reach conclusions about the population from which the sample was
drawn is called descriptive statistics.
Ans: False
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Medium
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
, 9. Calculation of population parameters is usually either impossible or excessively time consuming and
costly.
Ans: True
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
10. The basis for inferential statistics is the ability to make decisions about population parameters without
having to complete a census of the population.
Ans: True
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
11. All numerical data must be analyzed statistically in the same way because all of them are represented
by numbers.
Ans: False
Response: See section 1.4, Data Measurement
Difficulty: Medium
True/False
1. Virtually all areas of business use statistics in decision making.
Ans: True
Response: See section 1.1, Statistics in Business
Difficulty: Easy
Learning Objective: 1.1: List quantitative and graphical examples of statistics within a business context.
2. The complete collection of all entities under study is called the sample.
Ans: False
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
3. A portion or subset of the entities under study is called the statistic.
,Ans: False
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
4. A descriptive measure of the population is called a parameter.
Ans: True
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
5. A census is the process of gathering data on all the entities in the population.
Ans: True
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
6. Statistics is commonly divided into two branches called descriptive statistics and summary statistics.
,Ans: False
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
7. A descriptive measure of the sample is called a statistic.
Ans: True
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
8. Gathering data from a sample to reach conclusions about the population from which the sample was
drawn is called descriptive statistics.
Ans: False
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Medium
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
, 9. Calculation of population parameters is usually either impossible or excessively time consuming and
costly.
Ans: True
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
10. The basis for inferential statistics is the ability to make decisions about population parameters without
having to complete a census of the population.
Ans: True
Response: See section 1.2, Basic Statistical Concepts
Difficulty: Easy
Learning Objective: 1.2: define important statistical terms, including population, sample, and parameter,
as they relate to descriptive and inferential statistics.
11. All numerical data must be analyzed statistically in the same way because all of them are represented
by numbers.
Ans: False
Response: See section 1.4, Data Measurement
Difficulty: Medium
