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