REVISION QUESTIONS BUSINESS STATISTICS 1 (STAT 113) Latest Verified Review 2023 Practice Questions and Answers for Exam Preparation, 100% Correct with Explanations, Highly Recommended, Download to Score A+

REVISION QUESTIONS BUSINESS STATISTICS 1 (STAT 113) Latest Verified Review 2023 Practice Questions and Answers for Exam Preparation, 100% Correct with Explanations, Highly Recommended, Download to Score A+ Question One  The CEO of a certain airline company in Uganda wishes to determine the average growth rate in revenue based on the figures in the table. If the average growth rate is less than the industry average of 10 per cent, a new advertising campaign will be undertaken. Revenue for the Company Year Revenue 2007 50,000,000 2008 55,000,000 2009 66,000,000 2010 60,000,000 2011 78,000,000  Compute geometric mean. (3 Marks)  Should the company undertake a new advertising campaign? Explain. (2 Marks)  Non-sampling error is more serious than sampling error, because taking a large sample won’t diminish the size, or the possibility of occurrence, of this error. Even a census can (and probably will) contain non-sampling errors. State and clearly explain three non-sampling errors. (6 Marks)  Attempting to analyze the relationship between advertising and sales, the owner of a furniture store recorded the monthly advertising budget (thousand of KES) and the sales (thousands of KES) for a sample of 12 months. The data are listed below. Where: X = advertising. Y = sales. X 90 99 Y 9.6 11.3 12.8 9.8 8.9 12.5 12 11.4 12.6 13.7 14.4 15.9  Calculate the covariance of the two variables. (3 Marks)  Determine the coefficient of correlation. (3 Marks)  What do these statistics tell you about the relationship between advertising and sales? (1 Mark)  Statistics play an important role in business management. But this is restricted by its limitations. Explain any three limitations of statistics. (6 Marks)  The method of instruction in university applied statistics courses is changing. Historically, most courses were taught with an emphasis on manual calculation. The alternative is to employ a computer and a software package to perform the calculations. An analysis of applied statistics courses investigated whether the instructor’s educational background is primarily mathematics (or statistics) or some other field. The result of this analysis is the accompanying table of joint probabilities. Statistics course emphasizes manual calculations Statistics course employ computer and software Mathematics or statistics education 0.23 0.36 Other education 0.11 0.30  What is the probability that a randomly selected applied statistics course instructor whose education was in statistics emphasizes manual calculations? (3 Marks)  What proportion of applied statistics courses employs a computer and software? (2 Marks)  Are the educational background of the instructor and the way his or her course is taught independent? (1 Mark)