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Multiple Choice

(MARK YOUR ANSWERS ON THE SCRAP SHEET)

For each multiple choice question, the grading is as follows:
 No answer =0
 Correct answer =2
 Wrong answer = -1 POINTS


1. Multicollinearity, a high degree of correlation among the variables being examined, is
a problem for all the following marketing research techniques EXCEPT:

a. ANOVA
b. Cluster Analysis
c. Factor Analysis
d. Logistic Regression
e. Multicollinearity is a problem for all of the above techniques


2. The comic in Figure 1 (next page) is best described as what phenomenon in
statistical testing:

a. Multiple tests increase the likelihood of making a false positive (Type I)
error
b. Multiple tests increase the likelihood of making a false negative (Type II) error
c. Multiple tests increase the likelihood of making a false power error
d. Multiple tests increase the likelihood of making a false effect size error
e. Green jelly beans are always bad for you


3. Which of the following assumptions below belong to CLUSTER ANALYSIS?

I. Normality
II. No outliers
III. Linearity
IV. No multicollinearity
V. Variables measured on same scale

a. I, II and III
b. I, II and IV
c. II, IV and V
d. II, III, IV and V
e. I, II, III, IV, and V

, FIGURE 1 (taken from HTTP://XKCD.COM/882/)