Question 1

Type II error occurs when the test:

Accepted Answer

A)  correctly fails to reject an actually true null hypothesis. 
B)  incorrectly fails to reject an actually false null hypothesis. 
C)  correctly rejects an actually false null hypothesis. 
D)  incorrectly rejects an actually true null hypothesis. 
A)  correctly fails to reject an actually true null hypothesis. 
B)  incorrectly fails to reject an actually false null hypothesis. 
C)  correctly rejects an actually false null hypothesis. 
D)  incorrectly rejects an actually true null hypothesis. B

Question 2

State how to increase the power of a test.
Compare and contrast the major types of hypothesis testing for one-sample tests
-Which of the following is true about the rejection region?

Accepted Answer

A)  The rejection region is chosen to determine the probability of a Type I error. 
B)  With a true null hypothesis, the test statistic falls into the rejection region. 
C)  If the test statistic is in the nonrejection region, the null hypothesis is rejected. 
D)  The rejection region occurs in the tails of the sampling distribution of the test statistic. 
A)  The rejection region is chosen to determine the probability of a Type I error. 
B)  With a true null hypothesis, the test statistic falls into the rejection region. 
C)  If the test statistic is in the nonrejection region, the null hypothesis is rejected. 
D)  The rejection region occurs in the tails of the sampling distribution of the test statistic. D

Question 3

Use the data given below to answer the following question(s).
In a lower one-tailed hypothesis test, chosen level of significance = 0.10, sample size = 55, and t- test statistic = -1.76.
-For a two-sample hypothesis which tests for differences in population parameters (1) and (2), a two-tailed test seeks evidence that population parameter:

Accepted Answer

A)  seeks evidence that population parameter (2) is larger than parameter (1). 
B)  seeks evidence that population parameter (2) is the same as parameter (1). 
C)  seeks evidence that population parameter (2) is smaller than parameter (1). 
D)  seeks evidence that population parameters (1) and (2) do not belong to the same data. 
A)  seeks evidence that population parameter (2) is larger than parameter (1). 
B)  seeks evidence that population parameter (2) is the same as parameter (1). 
C)  seeks evidence that population parameter (2) is smaller than parameter (1). 
D)  seeks evidence that population parameters (1) and (2) do not belong to the same data. B

Question 4

State the proper forms of hypotheses for two-sample hypothesis tests.
-Which of the following Excel tools is used for a two-sample test for equality of variances?

Accepted Answer

A)  Excel F-test Two-sample for variances 
B)  Excel z-test: Two-sample for means 
C)  Excel t-test: Two-sample assuming unequal variances 
D)  Excel t-test: Two-sample assuming equal variances 
A)  Excel F-test Two-sample for variances 
B)  Excel z-test: Two-sample for means 
C)  Excel t-test: Two-sample assuming unequal variances 
D)  Excel t-test: Two-sample assuming equal variances

Question 5

Use the data given below to answer the following question(s).
In a lower one-tailed hypothesis test, chosen level of significance = 0.10, sample size = 55, and t- test statistic = -1.76.
-What is the observed level of significance?

Accepted Answer

A)  0.4605 
B)  0.4191 
C)  0.0379 
D)  0.0420 
A)  0.4605 
B)  0.4191 
C)  0.0379 
D)  0.0420

Question 6

Which of the following is true about the value of the power of the test?

Accepted Answer

A)  low value will enable valid conclusions to be made 
B)  small sample sizes generate a low value of the power of the test 
C)  low value will help in detecting small differences in sample statistics 
D)  small sample sizes incur higher costs than large sample sizes 
A)  low value will enable valid conclusions to be made 
B)  small sample sizes generate a low value of the power of the test 
C)  low value will help in detecting small differences in sample statistics 
D)  small sample sizes incur higher costs than large sample sizes

Question 7

Which of the following propositions describes an existing theory or belief?

Accepted Answer

A)  standard deviation 
B)  null hypothesis 
C)  proportion 
D)  alternative hypothesis 
A)  standard deviation 
B)  null hypothesis 
C)  proportion 
D)  alternative hypothesis

Question 8

Which of the following denotes the power of the test?

Accepted Answer

A)  α 
B)  1 - β 
C)  β 
D)  1 - α 
A)  α 
B)  1 - β 
C)  β 
D)  1 - α

Question 9

Which of the following tests is used to determine if two categorical variables are independent?

Accepted Answer

A)  Chi-square test 
B)  t-test 
C)  z-test 
D)  ANOVA 
A)  Chi-square test 
B)  t-test 
C)  z-test 
D)  ANOVA

Question 10

In order to reject the null hypothesis, the F-test statistic must be greater than the .

Accepted Answer

A)  p-value 
B)  variance 
C)  df 
D)  F crit 
A)  p-value 
B)  variance 
C)  df 
D)  F crit

Question 11

Which of the following is the initial step in conducting a hypothesis test?

Accepted Answer

A)  collecting data and calculating a test statistic 
B)  selecting a level of significance 
C)  identifying the population parameter of interest 
D)  determining a decision rule 
A)  collecting data and calculating a test statistic 
B)  selecting a level of significance 
C)  identifying the population parameter of interest 
D)  determining a decision rule

Question 12

Use the data given below to answer the following question(s).
In a lower one-tailed hypothesis test, chosen level of significance = 0.10, sample size = 55, and t- test statistic = -1.76.
-Which of the following computes the test statistic for a one-sample test for proportions?

Accepted Answer

A)  $ z=\frac{\hat{p}-\pi_{0}}{\pi\left(1-\pi_{0}\right) / n} $ 
B)  $ z=\frac{\hat{p}-\pi_{0}}{\pi / n} $ 
C)  $ z=\frac{\hat{p}-\pi_{0}}{\sqrt{\pi\left(1-\pi_{0}\right) / n}} $ 
D)  $ z=\frac{\hat{p}-\pi_{0}}{\sqrt{\pi\left(1-\pi_{0}\right)^{2} / n}} $ 
A)  $ z=\frac{\hat{p}-\pi_{0}}{\pi\left(1-\pi_{0}\right) / n} $ 
B)  $ z=\frac{\hat{p}-\pi_{0}}{\pi / n} $ 
C)  $ z=\frac{\hat{p}-\pi_{0}}{\sqrt{\pi\left(1-\pi_{0}\right) / n}} $ 
D)  $ z=\frac{\hat{p}-\pi_{0}}{\sqrt{\pi\left(1-\pi_{0}\right)^{2} / n}} $

Question 13

Use p-values to draw conclusions about hypothesis tests.
-On studying the database, the manufacturer found out that the average difference between the estimated and actual total costs was $394. Based on the sample data, can the manufacturer conclude that the average difference between the estimated and actual total costs is different from zero?

Accepted Answer

If μD denotes the population mean differ

Question 14

Robin Inc. feared that the average company loss is running beyond $34,000. It initially conducted a hypothesis test on a sample extracted from its database. The hypothesis was formulated as H0: average company loss $34,000 vs. H1: average company loss > $34,000. The test resulted in favor of Robin Inc.'s loss not exceeding $34,000. Detailed study of company accounts later revealed that the average company loss had run up to $37,896. Which of the following errors were made during the hypothesis test?

Accepted Answer

A)  Type III error 
B)  Type II error 
C)  Type I error 
D)  Type IV error 
A)  Type III error 
B)  Type II error 
C)  Type I error 
D)  Type IV error

Question 15

Which of the following 2010 Excel functions computes the p-value for the chi-square test?

Accepted Answer

A)  CHISQ.INV.RT 
B)  CHIDIST 
C)  CHI.SQ 
D)  CHISQ.TEST 
A)  CHISQ.INV.RT 
B)  CHIDIST 
C)  CHI.SQ 
D)  CHISQ.TEST

Question 16

Which of the following is true while applying the Excel ANOVA tool?

Accepted Answer

A)  The specified input range of data must be separated. 
B)  The sample size for each factor level must be the same. 
C)  The input range must be a rectangular region that contains all data. 
D)  Level of significance need not be specified. 
A)  The specified input range of data must be separated. 
B)  The sample size for each factor level must be the same. 
C)  The input range must be a rectangular region that contains all data. 
D)  Level of significance need not be specified.

Question 17

State how to increase the power of a test.
Compare and contrast the major types of hypothesis testing for one-sample tests
-For a one-tailed test, the critical value:

Accepted Answer

A)  divides the sampling distribution into three parts. 
B)  is the number of standard errors away from the sample mean. 
C)  helps determine if the test statistic falls in the rejection region or not. 
D)  fails to reject the null hypothesis if the test statistic exceeds the critical value. 
A)  divides the sampling distribution into three parts. 
B)  is the number of standard errors away from the sample mean. 
C)  helps determine if the test statistic falls in the rejection region or not. 
D)  fails to reject the null hypothesis if the test statistic exceeds the critical value.

Question 18

State the proper forms of hypotheses for two-sample hypothesis tests. Select and use Excel Analysis Toolpak procedures for two-sample hypothesis tests.
-In conducting a hypothesis test, what is usually to be proven statistically is identified as the null hypothesis.

Accepted Answer

A) True 
 B)False

Question 19

State the proper forms of hypotheses for two-sample hypothesis tests.
-For a two-sample hypothesis test for differences in population parameters (1) and (2), which of the following is the correct form of an upper-tailed test?

Accepted Answer

A)  H0: population parameter (1) - population parameter (2) ≥ 0 vs. H1: population parameter (1) - population parameter (2)  0 vs. H1: population parameter (1) - population parameter (2) ≤ 0 
C)  H0: population parameter (1) - population parameter (2)  0 
D)  H0: population parameter (1) - population parameter (2) ≤ 0 vs. H1: population parameter (1) - population parameter (2) > 0 
A)  H0: population parameter (1) - population parameter (2) ≥ 0 vs. H1: population parameter (1) - population parameter (2)  0 vs. H1: population parameter (1) - population parameter (2) ≤ 0 
C)  H0: population parameter (1) - population parameter (2)  0 
D)  H0: population parameter (1) - population parameter (2) ≤ 0 vs. H1: population parameter (1) - population parameter (2) > 0

Question 20

State how to increase the power of a test.
Compare and contrast the major types of hypothesis testing for one-sample tests
-The average cost for the sample of 5 sales of a product is $\begin{array}{|l|l|l|}
\hline \text { Respondent } & \text { Gender } & \text { Breakfast Preference } \
\hline 1 & \text { Female } & \text { Fruits } \
\hline 2 & \text { Male } & \text { Cereal } \
\hline 3 & \text { Male } & \text { Milk } \
\hline 4 & \text { Female } & \text { Fruits } \\hline 5 & \text { Female } & \text { Milk } \
\hline 6 & \text { Male } & \text { Cereal } \
\hline 7 & \text { Male } & \text { Milk } \
\hline 8 & \text { Male } & \text { Milk } \
\hline 9 & \text { Female } & \text { Fruits } \\hline 10 & \text { Male } & \text { Fruits } \
\hline 11 & \text { Male } & \text { Cereal } \
\hline 12 & \text { Female } & \text { Cereal } \
\hline 13 & \text { Female } & \text { Milk } \
\hline 14 & \text { Male } & \text { Fruits } \
\hline 15 & \text { Female } & \text { Fruits } \
\hline
\end{array}$ = $230 and the sample standard deviation is s = $17.50. The hypothesized mean is ?0 = $250. Compute the value of the test statistic.

Accepted Answer

A)  -2.56 
B)  -4.00 
C)  -1.67 
D)  -3.87 
A)  -2.56 
B)  -4.00 
C)  -1.67 
D)  -3.87

Type II error occurs when the test:

State how to increase the power of a test. Compare and contrast the major types of hypothesis testing for one-sample tests -Which of the following is true about the rejection region?

State the proper forms of hypotheses for two-sample hypothesis tests. -Which of the following Excel tools is used for a two-sample test for equality of variances?

Use the data given below to answer the following question(s). In a lower one-tailed hypothesis test, chosen level of significance = 0.10, sample size = 55, and t- test statistic = -1.76. -What is the observed level of significance?

Which of the following is true about the value of the power of the test?

Which of the following propositions describes an existing theory or belief?

Which of the following denotes the power of the test?

Which of the following tests is used to determine if two categorical variables are independent?

In order to reject the null hypothesis, the F-test statistic must be greater than the .

Which of the following is the initial step in conducting a hypothesis test?

Use the data given below to answer the following question(s). In a lower one-tailed hypothesis test, chosen level of significance = 0.10, sample size = 55, and t- test statistic = -1.76. -Which of the following computes the test statistic for a one-sample test for proportions?

Which of the following 2010 Excel functions computes the p-value for the chi-square test?

Which of the following is true while applying the Excel ANOVA tool?

State how to increase the power of a test. Compare and contrast the major types of hypothesis testing for one-sample tests -For a one-tailed test, the critical value:

State the proper forms of hypotheses for two-sample hypothesis tests. Select and use Excel Analysis Toolpak procedures for two-sample hypothesis tests. -In conducting a hypothesis test, what is usually to be proven statistically is identified as the null hypothesis.

State the proper forms of hypotheses for two-sample hypothesis tests. -For a two-sample hypothesis test for differences in population parameters (1) and (2), which of the following is the correct form of an upper-tailed test?

Business Analytics

Analytics on Spreadsheets

Visualizing and Exploring Data

Descriptive Statistical Measures

Probability Distributions and Data Modeling

Sampling and Estimation

Trendlines and Regression Analysis

Forecasting Techniques

Introduction to Data Mining

Spreadsheet Modeling and Analysis

Monte Carlo Simulation and Risk Analysis

Linear Optimization

Applications of Linear Optimization

Integer Optimization

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Exam 7: Statistical Inference

Type II error occurs when the test:

State how to increase the power of a test. Compare and contrast the major types of hypothesis testing for one-sample tests -Which of the following is true about the rejection region?

State the proper forms of hypotheses for two-sample hypothesis tests. -Which of the following Excel tools is used for a two-sample test for equality of variances?

Use the data given below to answer the following question(s). In a lower one-tailed hypothesis test, chosen level of significance = 0.10, sample size = 55, and t- test statistic = -1.76. -What is the observed level of significance?

Which of the following is true about the value of the power of the test?

Which of the following propositions describes an existing theory or belief?

Which of the following denotes the power of the test?

Which of the following tests is used to determine if two categorical variables are independent?

In order to reject the null hypothesis, the F-test statistic must be greater than the .

Which of the following is the initial step in conducting a hypothesis test?

Use the data given below to answer the following question(s). In a lower one-tailed hypothesis test, chosen level of significance = 0.10, sample size = 55, and t- test statistic = -1.76. -Which of the following computes the test statistic for a one-sample test for proportions?

Which of the following 2010 Excel functions computes the p-value for the chi-square test?

Which of the following is true while applying the Excel ANOVA tool?

State how to increase the power of a test. Compare and contrast the major types of hypothesis testing for one-sample tests -For a one-tailed test, the critical value:

State the proper forms of hypotheses for two-sample hypothesis tests. Select and use Excel Analysis Toolpak procedures for two-sample hypothesis tests. -In conducting a hypothesis test, what is usually to be proven statistically is identified as the null hypothesis.

State the proper forms of hypotheses for two-sample hypothesis tests. -For a two-sample hypothesis test for differences in population parameters (1) and (2), which of the following is the correct form of an upper-tailed test?

Business Analytics

Analytics on Spreadsheets

Visualizing and Exploring Data

Descriptive Statistical Measures

Probability Distributions and Data Modeling

Sampling and Estimation

Trendlines and Regression Analysis

Forecasting Techniques

Introduction to Data Mining

Spreadsheet Modeling and Analysis

Monte Carlo Simulation and Risk Analysis

Linear Optimization

Applications of Linear Optimization

Integer Optimization

Decision Analysis

Filters