Deck 1: Overview of Statistics

Question 1

Descriptive statistics refers to summarizing data rather than generalizing about the population.

Answer 1

True

Question 2

Excel has limited use in business because advanced statistical software is widely available.

Answer 2

False

Question 3

Statistics is the science of collecting,organizing,analyzing,interpreting,and presenting data.

Answer 3

True

Question 4

Inconsistent treatment of data by a researcher is a symptom of poor survey or research design.

Question 5

A strong correlation between A and B would imply that B is caused by A.

Question 6

Valid statistical inferences cannot be made when sample sizes are small.

Question 7

A statistical test may be significant yet have no practical importance.

Question 8

When a statistician omits data contrary to her findings in a study,she is justified as long as the sample supports her objective.

Question 9

Estimating parameters and testing hypotheses are important aspects of descriptive statistics.

Question 10

The science of statistics tells us whether the sample evidence is convincing.

Question 11

Pitfalls to consider in a statistical test include nonrandom samples,small sample size,and lack of causal links.

Question 12

Business intelligence refers to collecting,storing,accessing,and analyzing data on the company's operations in order to make better business decisions.

Question 13

Inferential statistics refers to generalizing from a sample to a population,estimating unknown parameters,drawing conclusions,and making decisions.

Question 14

In business communication,a table of numbers is preferred to a graph because it is more able to convey meaning.

Question 15

Empirical data are collected through observations and/or experiments.

Question 16

Statistical data analysis can often distinguish between real versus perceived ethical issues.

Question 17

A business data analyst needs a Ph.D.in statistics.

Question 18

The post hoc fallacy says that when B follows A then B is caused by A.

Question 19

Statistics is an essential part of critical thinking because it allows us to transform the empirical evidence from a sample so it will agree with our preferred conclusions.

Question 20

Statistical challenges include imperfect data,practical constraints,and ethical dilemmas.

Question 21

Which of the following is not a characteristic of an ideal statistician?

A)Technically current (e.g. ,software)
B)Communicates well (both written and oral)
C)Advocates client's objectives
D)Can deal with imperfect information

Question 22

Which of the following statements is not true?

A)A statistic is a single measure (usually numerical)that is calculated from a sample.
B)Statistics is the science of collecting,organizing,analyzing,interpreting,and presenting data.
C)For day-to-day business data analysis,most firms rely on a large staff of expert statisticians.
D)A statistical test may be significant yet have no practical importance.

Question 23

Which best illustrates the distinction between statistical significance and practical importance?

A)"In 2016,240 out of 400 statistics students at Oxnard Technical College sold their textbooks at the end of the semester,compared with 220 out of 330 students in 2015,a significant decrease."
B)"Our new manufacturing technique has increased the life of the 80 GB USB AsimoDrive external hard disk significantly,from 240,000 hours to 250,000 hours."
C)"In 50,000 births,the new vaccine reduced the incidence of infant mortality in Morrovia significantly from 14.2 deaths per 1,000 births to 10.3 deaths per 1,000 births."
D)"The new Sky Penetrator IV business jet's cruising range has increased significantly from 3,975 miles to 4,000 miles."

Question 24

Surveying electric vehicle owners would provide a representative random sample of Americans' views on global warming policies.

Question 25

Because 25 percent of the students in my morning statistics class watch eight or more hours of television a week,I conclude that 25 percent of all students at the university watch eight or more hours of television a week.The most important logical weakness of this conclusion would be

A)relying on a sample instead of surveying every student.
B)using a sample that may not be representative of all students.
C)failing to correct for unconscious interviewer bias.
D)assuming cause and effect where none exists.

Question 26

Statistics can help you handle either too little or too much information.

Question 27

GM's experience with ignition switches suggests that

A)statistics is not applicable to automotive manufacturing.
B)limited data may still contain important clues.
C)good engineers can eliminate all risks.
D)ignition switches are inherently dangerous.

Question 28

Predicting a presidential candidate's percentage of the statewide vote from a sample of 800 voters would be an example of inferential statistics.

Question 29

Which is not an ethical obligation of a statistician?

A)To know and follow accepted procedures
B)To ensure data integrity and accurate calculations
C)To support client wishes in drawing conclusions from the data
D)To acknowledge sources of financial support

Question 30

"Bob must be rich.He's a lawyer,and lawyers make lots of money." This statement best illustrates which fallacy?

A)Using poor survey methods
B)Confusing significance with importance
C)Unconscious bias
D)Generalizing from an average to an individual

Question 31

Which is not a goal of the ethical data analyst?

A)To be an honest broker of data.
B)To learn to downplay inconvenient data.
C)To understand the firm's code of ethics (or help create one).
D)To look for hidden agendas in data collection.

Question 32

Which is not an essential characteristic of a good business data analyst?

A)Effective writer
B)Stays current on techniques
C)Has a Ph.D.or master's degree in statistics
D)Can deal with imperfect information

Question 33

An ethical statistical consultant would not always

A)follow accepted statistical procedures.
B)support management's desired conclusions.
C)acknowledge sources of financial support.
D)report limitations of the data.

Question 34

Which of the following statements is correct?

A)A parameter is a measure that is calculated from a sample.
B)Statistics is the science of collecting,organizing,analyzing,interpreting,and presenting data.
C)For day-to-day business data analysis,most firms rely on a large staff of expert statisticians.
D)A statistical test result that is significant also has practical importance.

Question 35

Statistics helps surmount language barriers to solve problems in multinational businesses.

Question 36

Which is not a practical constraint facing the business researcher or data analyst?

A)Time and money are always limited.
B)The world is no laboratory,so some experiments are impractical.
C)Research on human subjects is fraught with danger and ethical issues.
D)Survey respondents usually will tell the truth if well compensated.

Question 37

Which is least likely to be an application where statistics will be useful?

A)Predicting whether an airfare is likely to rise or fall
B)Designing the most desirable features for a ski pass
C)Deciding whether offering Rice Krispies improves restaurant sales
D)Choosing the wording of a corporate policy prohibiting smoking

Question 38

An example of descriptive statistics would be reporting the percentage of students in your accounting class that attended the review session for the last exam.

Question 39

Which of the following statements is not true?

A)Statistics helps refine theories through ongoing hypothesis testing.
B)Statistics is the science of collecting,organizing,analyzing,interpreting,and presenting data.
C)Estimating parameters is an important aspect of descriptive statistics.
D)Statistical challenges include imperfect data and practical constraints.

Question 40

"Smoking is not harmful.My Aunt Harriet smoked,but lived to age 90." This best illustrates which fallacy?

A)Unconscious bias
B)Significance versus practical importance
C)Post hoc reasoning
D)Small sample generalization

Question 41

An ethical data analyst would be least likely to

A)check data for accuracy.
B)cite his/her data sources and their limitations.
C)acknowledge sources of financial support.
D)rely on consultants for all calculations.

Question 42

"Bob didn't wear his lucky T-shirt to class,so he failed his chemistry exam." This best illustrates which fallacy?

A)Small sample generalization
B)Poor survey methods
C)Post hoc reasoning
D)More than one of the above

Question 43

Established risk factors such as cholesterol and obesity can predict who will get heart disease about 80 percent of the time.Adding a new test called CRP can raise this percentage to 81 percent-a statistically significant difference.But would this improvement be of practical importance to a physician? To a patient? Discuss.

Question 44

A good data analyst

A)removes data if so instructed by client.
B)works alone to avoid team conflicts.
C)communicates with numbers rather than with graphs.
D)reports findings that may contradict client's ideas.

Question 45

"Circulation fell in the month after the new editor took over the newspaper Oxnard News Herald.The new editor should be fired." Which is not a serious fallacy in this conclusion?

A)Generalizing from a small sample
B)Applying post hoc reasoning
C)Failing to identify causes
D)Using a biased sample

Question 46

Which is not a reason for an average student to study statistics?

A)Improve technical writing skills
B)Gain information management skills
C)Enhance technical literacy
D)Learn stock market strategies

Question 47

"Tom's SUV rolled over.SUVs are dangerous." This best illustrates which fallacy?

A)Unconscious bias
B)Significance versus practical importance
C)Post hoc reasoning
D)Small sample generalization

Question 48

Bob said,"Since statistics cannot tell for certain whether one thing caused another,there is no point in even reporting probabilities." Argue both for and against Bob's statement.

Question 49

How might statistics be useful in determining the correct width of doorways in a convalescent care facility so that 99 percent of the "typical" wheelchairs can pass through the doorway without coming closer than 6 inches on either side?

Question 50

Which is not a likely task of descriptive statistics?

A)Summarizing a sample
B)Describing data numerically
C)Estimating unknown parameters
D)Making visual displays of data

Question 51

Which is not an analytical method commonly used to improve business decisions?

A)Descriptive analytics.
B)Predictive analytics.
C)Prescriptive analytics.
D)Reactive analytics.

Question 52

Bob said,"Why study math and statistics? I'm majoring in human resources because it's people that are important in business,not numbers." Argue both for and against Bob's statement.

Question 53

We would associate the term inferential statistics with which task?

A)Making visual displays of data
B)Estimating unknown parameters
C)Describing a sample of data
D)Tabulating a survey

Question 54

Which is not a likely area of application of statistics in business?

A)Auditing supplier invoices for correct payment
B)Questioning the executives' strategic decisions
C)Looking for patterns in a large marketing database
D)Making forecasts of several key product lines