Quantitative Analysis Chapter – Questions With
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Terms in this set (57)
1.1 Give an example of how a. All combinations have same chance of winning so
statistics might be useful to method did not "work."
the person in the scenario. b.No, same as any other six numbers.
a.An auditor is looking for
inflated broker
commissions in stock
transactions.
b.An industrial marketer is
representing her firm's
compact, new low-power
OLED screens to the
military.
c.A plant manager is
studying absenteeism at
vehicle assembly plants in
three states.
d.An automotive
purchasing agent is
comparing defect rates in
steel shipments from three
vendors of steel.
1.3 (a) Should the average
business school graduate
expect to use computers to
manipulate data, or is this a
job better left to
specialists? (b) What
problems arise when an
employee is weak in
quantitative skills? Based on
your experience, is that
common?
,1.5 (a) How much statistics
does a student need in your
chosen field of study? Why
not more? Why not less? (b)
How can you tell when the
point has been reached
where you should call for
an expert statistician? List
some costs and some
benefits that would govern
this decision.
1.9 A National Health
Interview Survey
conducted by the U.S.
Centers for Disease Control
and Prevention reported
that using a cell phone
instead of a landline
appeared to double a
person's chances of binge
drinking. "I guess I'd better
give up my cell phone," said
Bob. Which fallacy, if any,
do you see in Bob's
reasoning?
, 1.11 A lottery winner told
how he picked his six-digit
winning number (5-6-8-10-
22-75): number of people in
his family, birth date of his
wife, school grade of his 13-
year-old daughter, sum of
his birth date and his wife's,
number of years of
marriage, and year of his
birth. He said, "I try to pick
numbers that mean
something to me." The State
Lottery Commissioner
called this method "the
screwiest I ever heard of . . .
but apparently it works." (a)
From a statistical viewpoint,
do you agree that this
method "works"? (b) Based
on your understanding of
how a lottery works, would
someone who picks 1-2-3-
4-5-6 because "it is easy to
remember" have a lower
chance of winning?
1.13 An ad for a cell phone A reduction of 0.2% may not seem important to the
service claims that its individual customer, but from the company's
percent of "dropped calls" perspective it could be significant depending on how
was significantly lower than many customers it has.
that of its main competitor.
In the fine print, the
percents were given as 1.2
percent versus 1.4 percent.
Is this reduction likely to be
important to customers (as
opposed to being
significant)?
Complete Solutions
Save
Terms in this set (57)
1.1 Give an example of how a. All combinations have same chance of winning so
statistics might be useful to method did not "work."
the person in the scenario. b.No, same as any other six numbers.
a.An auditor is looking for
inflated broker
commissions in stock
transactions.
b.An industrial marketer is
representing her firm's
compact, new low-power
OLED screens to the
military.
c.A plant manager is
studying absenteeism at
vehicle assembly plants in
three states.
d.An automotive
purchasing agent is
comparing defect rates in
steel shipments from three
vendors of steel.
1.3 (a) Should the average
business school graduate
expect to use computers to
manipulate data, or is this a
job better left to
specialists? (b) What
problems arise when an
employee is weak in
quantitative skills? Based on
your experience, is that
common?
,1.5 (a) How much statistics
does a student need in your
chosen field of study? Why
not more? Why not less? (b)
How can you tell when the
point has been reached
where you should call for
an expert statistician? List
some costs and some
benefits that would govern
this decision.
1.9 A National Health
Interview Survey
conducted by the U.S.
Centers for Disease Control
and Prevention reported
that using a cell phone
instead of a landline
appeared to double a
person's chances of binge
drinking. "I guess I'd better
give up my cell phone," said
Bob. Which fallacy, if any,
do you see in Bob's
reasoning?
, 1.11 A lottery winner told
how he picked his six-digit
winning number (5-6-8-10-
22-75): number of people in
his family, birth date of his
wife, school grade of his 13-
year-old daughter, sum of
his birth date and his wife's,
number of years of
marriage, and year of his
birth. He said, "I try to pick
numbers that mean
something to me." The State
Lottery Commissioner
called this method "the
screwiest I ever heard of . . .
but apparently it works." (a)
From a statistical viewpoint,
do you agree that this
method "works"? (b) Based
on your understanding of
how a lottery works, would
someone who picks 1-2-3-
4-5-6 because "it is easy to
remember" have a lower
chance of winning?
1.13 An ad for a cell phone A reduction of 0.2% may not seem important to the
service claims that its individual customer, but from the company's
percent of "dropped calls" perspective it could be significant depending on how
was significantly lower than many customers it has.
that of its main competitor.
In the fine print, the
percents were given as 1.2
percent versus 1.4 percent.
Is this reduction likely to be
important to customers (as
opposed to being
significant)?
