p.5
Applications of Statistics in Business Analytics
How do television networks use inferential statistics?
By sampling viewer preferences to monitor program popularity and make decisions about advertising rates and program continuation.
p.4
Importance of Statistics in Various Disciplines
What is statistics?
The science of collecting, analyzing, interpreting, and presenting data.
p.1
Introduction to Business Decision Making
What is the primary focus when deciding to produce a new smartphone?
The product’s innovations, new features, pricing, and costs of production and distribution.
p.5
Qualitative vs. Quantitative Variables
What is a qualitative variable?
A nonnumeric characteristic observed and recorded, such as gender or eye color.
p.12
Types of Statistics: Descriptive and Inferential
What are the two types of statistics?
Descriptive statistics and inferential statistics.
p.10
Levels of Measurement in Statistics
What determines the type of statistical methods that can be used to analyze a variable?
The level of measurement.
p.1
Introduction to Business Decision Making
What is essential for someone without long industry experience when making decisions?
Developing intelligence to become an expert.
p.5
Qualitative vs. Quantitative Variables
What is a quantitative variable?
A variable that can be measured numerically, such as income or weight.
p.7
Levels of Measurement in Statistics
What does the nominal level of measurement allow us to do?
Count the number in each category of the variable.
p.8
Importance of Statistics in Various Disciplines
What is the definition of statistics?
Statistics is the study of data collection, analysis, interpretation, presentation, and organization.
p.12
Importance of Statistics in Various Disciplines
What is statistics?
The science of collecting, organizing, presenting, analyzing, and interpreting data to assist in making more effective decisions.
p.10
Levels of Measurement in Statistics
What are the four levels of measurement?
Nominal, Ordinal, Interval, and Ratio.
p.16
Importance of Statistics in Various Disciplines
What is statistics?
Statistics is the study of data collection, analysis, interpretation, presentation, and organization.
p.16
Applications of Statistics in Business Analytics
What can be analyzed from the earnings data over the years?
Whether one year had higher earnings than others and the trend of earnings over the period.
p.8
Levels of Measurement in Statistics
Why can't we say Florida's business climate is five times better than Indiana's?
Because the magnitude of the differences between the states is not known.
p.15
Applications of Statistics in Business Analytics
How do you compare 2014 sales to 2015 sales for each manufacturer?
By computing the percentage change in sales using computer software.
p.6
Qualitative vs. Quantitative Variables
What are qualitative variables?
Qualitative variables are non-numeric variables that can be summarized in charts and bar graphs.
p.15
Applications of Statistics in Business Analytics
What information should be included in the report summarizing holiday gift spending?
The total amount spent and the percent spent by each group.
p.7
Levels of Measurement in Statistics
What is an example of the nominal level of measurement?
The classification of M&M milk chocolate candies by color.
p.13
Qualitative vs. Quantitative Variables
What characterizes discrete variables?
They can assume only certain values, with gaps between them.
p.16
Levels of Measurement in Statistics
What is the level of measurement for selling price in real estate data?
Ratio level of measurement.
p.11
Ethics in Statistical Practice
What should analysts maintain when reporting findings?
An independent and principled point-of-view.
p.14
Qualitative vs. Quantitative Variables
What type of variable is gender?
Gender is a qualitative variable.
p.2
Applications of Statistics in Business Analytics
What does the market share data of Frito-Lay products illustrate?
It shows Frito-Lay’s dominance in the snack market and the consumption of each product line.
p.3
Types of Statistics: Descriptive and Inferential
What are the two main types of statistics discussed in the book?
Descriptive statistics and inferential statistics.
p.6
Importance of Statistics in Various Disciplines
What is statistics?
Statistics is the study of collecting, analyzing, interpreting, presenting, and organizing data.
p.5
Types of Statistics: Descriptive and Inferential
What type of statistics is used when reporting the acceptance of a chicken dinner by consumers?
Inferential statistics, as it involves making predictions about the population based on a sample.
p.5
Qualitative vs. Quantitative Variables
What are the two basic types of variables?
Qualitative and quantitative.
p.4
Types of Statistics: Descriptive and Inferential
What is a sample?
A portion or part of the population of interest.
p.6
Levels of Measurement in Statistics
What characterizes nominal-level data?
Nominal-level data consists of labels or names that can only be classified and counted, with no particular order.
p.1
Applications of Statistics in Business Analytics
What do big-box retailers like Target and Walmart do with the data they collect?
They manage product distribution, make marketing and sales decisions, and track sales.
p.16
Qualitative vs. Quantitative Variables
Which variables are quantitative in the Baseball 2016 data?
Number of wins, payroll, season attendance, and number of home runs hit.
p.11
Applications of Statistics in Business Analytics
What is the role of business analytics in companies?
To process and analyze data to support business narratives.
p.12
Types of Statistics: Descriptive and Inferential
What do descriptive statistics do?
They organize and summarize data.
p.3
Descriptive Statistics
How much did men spend on Valentine's Day compared to women in 2014?
Men spent more than twice the amount women spent.
p.6
Levels of Measurement in Statistics
What are continuous variables?
Continuous variables can assume any value within a specific range, such as air pressure in a tire or weight of a shipment.
p.6
Levels of Measurement in Statistics
What is the lowest level of measurement?
The lowest level of measurement is the nominal level.
p.7
Levels of Measurement in Statistics
What is the purpose of assigning numerical codes to nominal data?
To facilitate counting with statistical software.
p.7
Levels of Measurement in Statistics
What is the next higher level of measurement after nominal?
Ordinal level of measurement.
p.13
Data Collection and Business Intelligence
What is the difference between a sample and a population?
A sample is a subset of a population used for analysis.
p.13
Qualitative vs. Quantitative Variables
Give an example of a continuous variable.
The height of students in a classroom.
p.9
Levels of Measurement in Statistics
What happens when you change dress sizes by two units?
Each of the measurements (bust, waist, hips) increases by 2 inches.
p.12
Types of Statistics: Descriptive and Inferential
What is inferential statistics?
It involves taking a sample from a population and making estimates about the population based on the sample results.
p.15
Applications of Statistics in Business Analytics
What should be compared after designing the bar graphs for the top 12 manufacturers?
Compare the two graphs and prepare brief written comments.
p.9
Levels of Measurement in Statistics
In the context of ratio measurement, what does it mean if one value is twice another?
It indicates a meaningful ratio, such as a wage of $50 being twice that of $25.
p.13
Qualitative vs. Quantitative Variables
What are the two types of quantitative variables?
Discrete variables and continuous variables.
p.13
Qualitative vs. Quantitative Variables
What characterizes continuous variables?
They can assume any value within a specified range.
p.4
Real-World Examples of Statistical Applications
What did John Graunt analyze?
Births, christenings, and deaths in London to draw conclusions about disease impact.
p.1
Importance of Statistics in Various Disciplines
What is one reason for the increasing importance of statistics in decision-making?
The vast amount of data being generated and collected everywhere.
p.13
Levels of Measurement in Statistics
What is the ratio level of measurement?
It has all characteristics of the interval level, plus a meaningful zero point.
p.13
Qualitative vs. Quantitative Variables
Give an example of a discrete variable.
The number of students in a classroom.
p.10
Importance of Statistics in Various Disciplines
What is the definition of statistics?
Statistics is the science of collecting, analyzing, interpreting, presenting, and organizing data.
p.9
Levels of Measurement in Statistics
What are some examples of ratio scale measurements?
Wages, units of production, weight, and height.
p.12
Qualitative vs. Quantitative Variables
How is qualitative data usually summarized?
In graphs and bar charts.
p.4
Statistical Techniques for Decision Making
Why do we use samples in inferential statistics?
To obtain reliable estimates of population parameters while saving time and resources.
p.4
Statistical Techniques for Decision Making
What is the trade-off in sampling?
Between the time, money, and effort to collect data and the error of estimating a population parameter.
p.1
Applications of Statistics in Business Analytics
How does Google utilize statistics in its operations?
By tracking user searches to sort and prioritize search results.
p.16
Qualitative vs. Quantitative Variables
Which variables are considered quantitative in the North Valley Real Estate data?
Selling price and number of bedrooms.
p.13
Levels of Measurement in Statistics
What is the interval level of measurement?
It has ranking characteristics and constant distance between values.
p.11
Ethics in Statistical Practice
What is the moral contribution of statistics to society?
Providing accurate information that reflects a company's performance.
p.2
Importance of Statistics in Various Disciplines
What is the definition of statistics?
The science of collecting, organizing, presenting, analyzing, and interpreting data to assist in making more effective decisions.
p.11
Applications of Statistics in Business Analytics
What is MegaStat?
An Excel add-in that produces additional statistical reports.
p.5
Applications of Statistics in Business Analytics
What is the purpose of inferential statistics in various fields?
To learn something about a population in business, agriculture, politics, and government.
p.10
Levels of Measurement in Statistics
What is an example of ordinal level data?
A student's rank in class.
p.3
Statistical Techniques for Decision Making
What statistical methods are presented in Chapters 2 and 4?
Organizing and summarizing data with frequency distributions and presenting them with charts and graphs.
p.6
Levels of Measurement in Statistics
What is the highest level of measurement?
The highest level of measurement is the ratio level.
p.13
Levels of Measurement in Statistics
What is the nominal level of measurement?
Data sorted into categories with no particular order.
p.8
Applications of Statistics in Business Analytics
What percentage of students rated the instructor as good?
43.3% (26 out of 60 students).
p.7
Levels of Measurement in Statistics
What factors might be considered when ranking states for business climate?
Cost of labor, business tax climate, quality of life, etc.
p.14
Types of Statistics: Descriptive and Inferential
How is a presidential election unlike an exit poll?
A presidential election encompasses the entire electorate (population), while an exit poll surveys a sample of voters.
p.14
Levels of Measurement in Statistics
What type of variable is temperature?
Temperature is a continuous quantitative variable.
p.9
Levels of Measurement in Statistics
Why is the dress size considered an interval measurement?
Because the intervals between sizes are consistent, but there is no natural zero point.
p.9
Levels of Measurement in Statistics
What is a characteristic of the ratio level of measurement?
It has a meaningful zero point and the ratios between numbers are meaningful.
p.4
Types of Statistics: Descriptive and Inferential
What are inferential statistics?
Methods used to estimate a property of a population based on a sample.
p.4
Types of Statistics: Descriptive and Inferential
What is a population in statistics?
The entire set of individuals or objects of interest.
p.9
Levels of Measurement in Statistics
What does Table 1-2 illustrate regarding father-son income combinations?
It shows how income can be measured on a ratio scale, with meaningful comparisons.
p.5
Levels of Measurement in Statistics
What are discrete and continuous variables?
Discrete variables are countable (e.g., number of children), while continuous variables can take any value within a range (e.g., weight).
p.7
Levels of Measurement in Statistics
How are percentages often used in nominal data?
Counts are converted to percentages for easier interpretation.
p.8
Levels of Measurement in Statistics
What is an example of ordinal level measurement?
Rating instructors on a scale of inferior, poor, good, excellent, and superior.
p.4
Importance of Statistics in Various Disciplines
What is the significance of Graunt's work?
It marks the start of statistics as a field of study.
p.8
Levels of Measurement in Statistics
What is the interval level of measurement?
It includes all characteristics of the ordinal level, but the difference between values is meaningful.
p.14
Types of Statistics: Descriptive and Inferential
In what situation is the number of units sold considered a population?
When considering all units sold at the Best Buy store in Collegeville over its entire operational history.
p.11
Types of Statistics: Descriptive and Inferential
How can one determine if a group is a sample or a population?
By assessing whether the group represents the entire population or just a subset.
p.2
Importance of Statistics in Various Disciplines
What can be inferred from the earnings of high school and college graduates?
Statistics show that higher education correlates with increased earnings.
p.14
Applications of Statistics in Business Analytics
What can be inferred about the willingness of white-collar workers to relocate?
Based on the sample, approximately 40% of white-collar workers would accept a transfer outside the U.S.
p.3
Types of Statistics: Descriptive and Inferential
What is the purpose of descriptive statistics?
To organize, summarize, and present data in an informative way.
p.5
Applications of Statistics in Business Analytics
What was the accuracy rate found in the IRS tax preparation volunteer sample?
49% accuracy rate, indicating errors on about half of the returns.
p.12
Types of Statistics: Descriptive and Inferential
What is the difference between a population and a sample?
A population is the entire set of individuals or objects of interest, while a sample is a part of the population.
p.12
Qualitative vs. Quantitative Variables
What is a qualitative variable?
A nonnumeric variable, often summarized in graphs and bar charts.
p.15
Applications of Statistics in Business Analytics
What should be discussed in the report about ExxonMobil's earnings?
The earnings in billions of dollars from 2003 until 2014.
p.9
Levels of Measurement in Statistics
What is the significance of the income data in the Rho family?
The son makes twice as much as the father, illustrating the meaningful ratio in income.
p.1
Importance of Statistics in Various Disciplines
What are the three reasons for studying statistics mentioned in the text?
Data collection everywhere, the need for statistical knowledge to analyze data, and the ability to make valid comparisons and predictions.
p.7
Levels of Measurement in Statistics
What does the ordinal level of measurement not permit?
Mathematical operations that have valid interpretations.
p.16
Qualitative vs. Quantitative Variables
In the Lincolnville School District bus data, which variables are quantitative?
Number of buses and capacity.
p.2
Applications of Statistics in Business Analytics
How can statistics help in understanding inflation rates?
By comparing current inflation rates to past observations to identify trends.
p.15
Applications of Statistics in Business Analytics
What should be listed after comparing October 2015 sales to October 2014 sales?
Manufacturers that increased sales and those that decreased sales.
p.15
Applications of Statistics in Business Analytics
What should be done after computing the percentage change in sales?
List the manufacturers in order of increasing percentage changes.
p.6
Qualitative vs. Quantitative Variables
What is a quantitative variable?
A quantitative variable is one that can be reported numerically, such as balance in a checking account or the number of gigabytes used.
p.6
Levels of Measurement in Statistics
What are discrete variables?
Discrete variables can assume only certain values, with gaps between them, such as the number of bedrooms in a house.
p.1
Data Collection and Business Intelligence
What types of data are important for making informed decisions about a new smartphone?
Customer surveys, engineering analysis, and market research.
p.1
Statistical Techniques for Decision Making
What role do statistics play in the decision-making process for introducing a new product?
They summarize and organize data, compare new products to existing ones, and estimate future sales, costs, and revenues.
p.1
Importance of Statistics in Various Disciplines
Why is statistics a requirement in many college programs?
Because it is essential for capturing and analyzing data in various disciplines.
p.11
Ethics in Statistical Practice
What major financial scandals highlighted the need for ethics in statistics?
Bernie Madoff's Ponzi scheme, Enron, and Tyco's financial misrepresentations.
p.7
Levels of Measurement in Statistics
What is an example of ordinal-level data in business?
Ranking states for the best business climate.
p.14
Importance of Statistics in Various Disciplines
What is statistics?
Statistics is the study of data collection, analysis, interpretation, presentation, and organization.
p.15
Applications of Statistics in Business Analytics
What is the first step to compare October 2015 sales to October 2014 sales?
Compute the difference in sales for each manufacturer using computer software.
p.15
Applications of Statistics in Business Analytics
What is required to visualize the year-to-date sales for the top 12 manufacturers?
Design a bar graph illustrating the 2014 and 2015 year-to-date sales.
p.9
Levels of Measurement in Statistics
How does zero function in the ratio level of measurement?
Zero indicates the absence of the quantity being measured, such as zero dollars means no money.
p.16
Qualitative vs. Quantitative Variables
Which variables are considered qualitative in the North Valley Real Estate data?
Township and mortgage type.
p.11
Ethics in Statistical Practice
What is the consequence of misrepresenting financial information?
Investors may lose all or nearly all of their invested money.
p.8
Levels of Measurement in Statistics
What is an example of interval level measurement?
The Fahrenheit temperature scale.
p.14
Types of Statistics: Descriptive and Inferential
In what situation is the number of units sold considered a sample?
When analyzing the 15 units sold last month at the Best Buy store in Collegeville as a representation of sales trends.
p.2
Types of Statistics: Descriptive and Inferential
What is a statistic?
A statistic is a number used to communicate a piece of information, such as the inflation rate or GPA.
p.2
Importance of Statistics in Various Disciplines
What is the significance of the 'Statistics in Action' feature in the textbook?
It highlights the wide application of statistics across various disciplines such as management and economics.
p.14
Levels of Measurement in Statistics
What type of variable is the rating of a finance professor?
The rating of a finance professor is an ordinal qualitative variable.
p.4
Real-World Examples of Statistical Applications
Who is considered a pioneer in statistics?
John Graunt, for his work on the 'Bills of Mortality' in 1662.
p.6
Statistical Techniques for Decision Making
Why is it important to use appropriate statistics for the level of measurement?
Using appropriate statistics ensures meaningful interpretation of data and accurate analysis.
p.7
Levels of Measurement in Statistics
How is data recorded at the ordinal level of measurement?
Based on a relative ranking or rating of items.
p.16
Qualitative vs. Quantitative Variables
Which variable is qualitative in the Baseball 2016 data?
Whether the team is in the American or National League.
p.2
Applications of Statistics in Business Analytics
What role does statistics play in evaluating educational opportunities?
Statistics can determine required GPAs for admission to various programs and assess admission likelihood.
p.14
Levels of Measurement in Statistics
What type of variable is student rank in class?
Student rank in class is an ordinal qualitative variable.
p.13
Levels of Measurement in Statistics
What is the ordinal level of measurement?
Data that can be ranked, with one classification higher than another.
p.11
Ethics in Statistical Practice
What do the authors of 'Statistics and Ethics' advise regarding statistical practice?
To practice statistics with integrity and honesty.
p.8
Levels of Measurement in Statistics
Why can't we say 20 degrees Fahrenheit is twice as warm as 10 degrees Fahrenheit?
Because the interval level does not allow for statements of multiplicative comparison.
p.2
Applications of Statistics in Business Analytics
How can statistics be useful in personal and professional decisions?
Statistical techniques help make informed decisions by analyzing data and recognizing trends.
p.14
Qualitative vs. Quantitative Variables
What type of variable is soft drink preference?
Soft drink preference is a qualitative variable.
p.14
Applications of Statistics in Business Analytics
What can be inferred about customer reactions to AVX's return policy?
The majority of customers (80%) found the new return policy fair.
p.16
Levels of Measurement in Statistics
What is the level of measurement for the number of wins in baseball data?
Ratio level of measurement.
p.8
Levels of Measurement in Statistics
What does zero represent in the interval level of measurement?
Zero is just a point on the scale and does not represent the absence of the condition.
p.14
Levels of Measurement in Statistics
How is salary classified in terms of variables?
Salary is a continuous quantitative variable and also a continuous ratio-scaled variable.
p.2
Applications of Statistics in Business Analytics
How can statistics assist in making purchasing decisions for cars?
By analyzing prices and specifications of different car models to make informed choices.
p.14
Levels of Measurement in Statistics
What type of variable are SAT scores?
SAT scores are a continuous quantitative variable.
p.14
Levels of Measurement in Statistics
What type of variable is the number of home video screens?
The number of home video screens is a discrete quantitative variable.
p.14
Qualitative vs. Quantitative Variables
What type of variable is sales volume of MP3 players?
Sales volume of MP3 players is a quantitative variable.
p.14
Applications of Statistics in Business Analytics
Why is sales data reported to compare current sales to last year's sales?
To analyze trends and performance over time.
