PRE-ASSESSMENT - QUANTITATIVE ANALYSIS FOR
BUSINESS (PHFO) 2026
Attempt #1
Status: Not
Passed
1. A car stereo company is planning to introduce a new product into the market. It
faces stiff competition from two other organization with similar products. The
company’s marketing manager has asked the production manager to perform a
break-even analysis using three different price points. The marketing manager
will use the results to set a price for the new product.
Which type of method is a break-even analysis?
YOUR CORRECT
ANSWER ANSWER
Quantitative
Qualitative
Payback table
Expert judgment
2. Over the last three months, a small rural hospital has seen a sudden increase in the
number of patients coming to the emergency room for non-emergency treatment.
The hospital administrator wants to know why there is a sudden increase in
demand and is considering three options to find out.
Classify each method available to the administrator as qualitative or quantitative.
Answer options may be used more than once or not at all. Select your answers from
the pull- down list.
YOUR
CORREC
ANSWE
T
R
ANSWE
R
Page 1 of 53
,Including an open- Qualitative Qualitative
ended question on
the intake form
asking patients,
“Please explain why
you selected this ER
for treatment.”
Intake forms can be
sorted into non-
emergency and
emergency
categories; the “non-
emergency”
responses can be
analyzed to
determine reasons
the hospital was
selected.
Group brainstorming Qualitative Qualitative
with the nurses and
doctors in the
hospital to see what
ideas people have
for why so many
people are suddenly
coming to the ER for
non- emergency
treatment.
Pulling the hospital’s Quantitative Quantitative
records for the last
10 years and sorting
by medical codes to
check for similar
patterns in past
years. A regression
model can be built
using non-
emergency
treatments as the
dependent variable,
and various
independent
variables can be
tested, such as
population change
and unemployment
levels.
,Page 2 of 53
, 3. A local music store that hosts live music has been a very popular hangout for years.
However, the owner is concerned that the increasing popularity of new methods of
music delivery will soon make the business obsolete. The owner is considering
building a small recording studio in the basement of the store. The nearest
professional studio is 50 miles away, so a new studio may appeal to local musicians
and increase foot traffic. The owner has all the costs of building the studio and also
estimated how much revenue might increase due to the new studio (from studio
rental fees, increased food and drink sales if more people come to the live music
shows, etc.). The owner will use this information to determine net present value for
the studio.
Which method of analysis should this owner use to make a
determination?
CORREC
YOUR T
ANSWE ANSWE
R R
Qualitative
Quantitative
Decision tree
Expert
judgment
4. How should quantitative analysis improve subsequent decision making for a firm
that wants to determine whether its revenue has been increasing or decreasing for
the past 10 years?
YOUR CORRECT
ANSWER ANSWER
It will let the company determine the average revenue it
made.
It will help the company see which customers bought its
items.
It will help the company see why it has been making a
profit.
It will help the company see the competitors’ average
revenue.
BUSINESS (PHFO) 2026
Attempt #1
Status: Not
Passed
1. A car stereo company is planning to introduce a new product into the market. It
faces stiff competition from two other organization with similar products. The
company’s marketing manager has asked the production manager to perform a
break-even analysis using three different price points. The marketing manager
will use the results to set a price for the new product.
Which type of method is a break-even analysis?
YOUR CORRECT
ANSWER ANSWER
Quantitative
Qualitative
Payback table
Expert judgment
2. Over the last three months, a small rural hospital has seen a sudden increase in the
number of patients coming to the emergency room for non-emergency treatment.
The hospital administrator wants to know why there is a sudden increase in
demand and is considering three options to find out.
Classify each method available to the administrator as qualitative or quantitative.
Answer options may be used more than once or not at all. Select your answers from
the pull- down list.
YOUR
CORREC
ANSWE
T
R
ANSWE
R
Page 1 of 53
,Including an open- Qualitative Qualitative
ended question on
the intake form
asking patients,
“Please explain why
you selected this ER
for treatment.”
Intake forms can be
sorted into non-
emergency and
emergency
categories; the “non-
emergency”
responses can be
analyzed to
determine reasons
the hospital was
selected.
Group brainstorming Qualitative Qualitative
with the nurses and
doctors in the
hospital to see what
ideas people have
for why so many
people are suddenly
coming to the ER for
non- emergency
treatment.
Pulling the hospital’s Quantitative Quantitative
records for the last
10 years and sorting
by medical codes to
check for similar
patterns in past
years. A regression
model can be built
using non-
emergency
treatments as the
dependent variable,
and various
independent
variables can be
tested, such as
population change
and unemployment
levels.
,Page 2 of 53
, 3. A local music store that hosts live music has been a very popular hangout for years.
However, the owner is concerned that the increasing popularity of new methods of
music delivery will soon make the business obsolete. The owner is considering
building a small recording studio in the basement of the store. The nearest
professional studio is 50 miles away, so a new studio may appeal to local musicians
and increase foot traffic. The owner has all the costs of building the studio and also
estimated how much revenue might increase due to the new studio (from studio
rental fees, increased food and drink sales if more people come to the live music
shows, etc.). The owner will use this information to determine net present value for
the studio.
Which method of analysis should this owner use to make a
determination?
CORREC
YOUR T
ANSWE ANSWE
R R
Qualitative
Quantitative
Decision tree
Expert
judgment
4. How should quantitative analysis improve subsequent decision making for a firm
that wants to determine whether its revenue has been increasing or decreasing for
the past 10 years?
YOUR CORRECT
ANSWER ANSWER
It will let the company determine the average revenue it
made.
It will help the company see which customers bought its
items.
It will help the company see why it has been making a
profit.
It will help the company see the competitors’ average
revenue.
