QUANTITATIVE BUSINESS TOOLS EXAM 1 (QMB3200) QUESTIONS AND ANSWERS 2024.

If an interval estimate is said to be constructed at the 90% confidence level, the confidence coefficient would be _____. 0.9 (90%) The mean of the t distribution is _____. zero (0) The use of the normal probability distribution as an approximation of the sampling distribution of p̄ is based on the condition that both np and n(1 - p) equal or exceed _____. Five (5) We can reduce the margin of error in an interval estimate of p by doing any of the following EXCEPT _____. using a planning value p* closer to 0.5 The probability that the interval estimation procedure will generate an interval that contains the actual value of the population parameter being estimated is the _____. Confidence Coefficient (The confidence level stated as a proportion, rather than as a percentage. The higher the Coefficient, the more certain you are the results are accurate). An interval estimate is used to estimate _____. Population Parameter (The mean and variance of a population are population parameters.) As the degrees of freedom increase, the t distribution approaches the ________________. Normal Distribution (A normal distribution shows that data near the mean are more frequent in occurrence than data far from the mean). As the sample size increases, the margin of error _____. Decreases (The more information you have, the more accurate your results are going to be. In other words, the smaller your margin of error will get). Stratified random sampling is a method of selecting a sample in which _____. The population is first divided into groups, and then random samples are drawn from each group. (This is basically dividing into demographics, such as age groups, and taking a sample size, such as 50 people, from each demographic to determine a statistic from those age groups). The probability distribution of all possible values of the sample mean is called the ____. Sampling distribution of the sample mean The finite correction factor should be used in the computation of σx̄ and σȳ when n/N is greater than _____. 0.05 (A Finite Correction Factor is used to adjust a variance estimate for an estimated mean or total so that it only applies to the portion of the population that is not in the sample. It helps captures the difference between a sample with replacement and without replacement). The standard deviation of a point estimator is the _____. standard error All of the following are true about the standard error of the mean EXCEPT _____. It is larger than the standard deviation of the population. The standard deviation of x̄ is referred to as the _____. Standard error of the mean The meaning of P and p-hat P is unknowable/unknown and represents a proportion of the population p-hat implies a statistic to represent the unknowable amount out of a sample size. As the sample size increases, the _____. Standard error of the mean decreases. The standard deviation of p̄ is referred to as the _____. Standard error of the proportion. A numerical measure from a population, such as a population mean, is called _____. Parameter The value of the ___________ is used to estimate the value of the population parameter. Sample statistic Which of the following hypotheses is not a valid null hypothesis? H0: μ < 0 (Null Hypothesis cannot be less than or greater than. it must be less/greater than or equal to). Two approaches to drawing a conclusion in a hypothesis test are _____. Type I and Type II