Question 1

An initial investment of $10,000 is observed over 3 years with a geometric mean return at the end of year 3 of 0.512.Determine the value of the investment after 3 years.

Accepted Answer

The answer of An initial investment of $10,000 is observed...

Question 2

According to Chebyshev's Theorem,a range of how many standard deviations would include at least 80 percent of the values?

Accepted Answer

A) 5.0 
B) 2.2 
C) 2.5 
D) 1.6 
E) 2.0

Question 3

Joe Smith's IRA at the end of 2007 had a value of $1.2 million.With a rate of return of -29.75 percent in 2008 and a rate of return of 2.98 percent in 2009,calculate the geometric mean rate of return for the two-year period.

Accepted Answer

The answer of Joe Smith's IRA at the end of...

Question 4

Compute the sample standard deviation of the data set 6,4,2,1,4,1.

Accepted Answer

A) 1.83 
B) 2.00 
C) 1.41 
D) 3.33 
E) 4.00

Question 5

According to Chebyshev's Theorem,at least what proportion of the data will be within µ ± kσ for k = 1.6

Accepted Answer

A) 39% 
B) 58% 
C) 68% 
D) 61% 
E) 92%

Question 6

A measurement located outside the upper limits of a box-and-whiskers display is ___________.

Accepted Answer

A) Always in the first quartile 
B) An outlier 
C) Always the largest value in the data set 
D) Within the lower limits

Question 7

If the mean,median,and mode for a given population all equal 25,then we know that the shape of the distribution of the population is ____________.

Accepted Answer

A) Bimodal 
B) Skewed to the right 
C) Symmetrical 
D) Skewed to the left

Question 8

If the mean is greater than the median,then the distribution is ___________.

Accepted Answer

A) Skewed right 
B) Skewed left 
C) Symmetrical 
D) Bimodal

Question 9

Quality control is an important issue at ACME Company,which manufactures light bulbs.To test the life-hours of their light bulbs,they randomly sampled nine light bulbs and measured how many hours they lasted.
378,361,350,375,200,391,375,368,321
What is the mean?

Accepted Answer

A) 375 
B) 368 
C) 389.9 
D) 200 
E) 346.6

Question 10

The median is the measure of central tendency that divides a population or sample into four equal parts.

Accepted Answer

A) True 
 B)False

Question 11

The range of the measurement is the largest measurement plus the smallest measurement.

Accepted Answer

A) True 
 B)False

Question 12

In a statistics class,10 scores were randomly selected with the following results:
74,73,77,77,71,68,65,77,67,66
What are the lower and upper limits?

Accepted Answer

A) 67,77 
B) 57,87 
C) 37,107 
D) 52,92 
E) 47,97

Question 13

In a statistics class,10 scores were randomly selected with the following results:
74,73,77,77,71,68,65,77,67,66
What is the third quartile?

Accepted Answer

A) 65.9 
B) 67.3 
C) 66.75 
D) 73.85 
E) 77.0

Question 14

A normal population has 99.73 percent of the population measurements within __________ standard deviations of the mean.

Accepted Answer

A) One 
B) Two 
C) Three 
D) Four

Question 15

The local amusement park was interested in the average wait time at their most popular roller coaster at the peak park time (2 p.m. ).They selected 13 patrons and had them get in line between 2 and 3 p.m.Each was given a stopwatch to record the time they spent in line.The times recorded were as follows (in minutes)(mean = 114.15):
118,124,108,116,99,120,148,118,119,121,45,130,118
What is the variance?

Accepted Answer

A) 103 
B) 23.62 
C) 557.97 
D) 128.8 
E) 115

Question 16

Find the coefficient of variation for IQ tests with a mean of 100 and a standard deviation of 15.

Accepted Answer

A) 15.0 
B) 6.7 
C) 0.15 
D) 1.5 
E) 67

Question 17

A disadvantage of using grouping (a frequency table)with sample data is that:

Accepted Answer

A) Calculations involving central tendency and variation are more complicated than central tendency and variation calculations based on ungrouped datA. 
B) The descriptive statistics are less precise than the descriptive statistics obtained using ungrouped data. 
C) The interpretation of the grouped data descriptive statistics is meaningless. 
D) It is much more difficult to summarize the information than it is with the ungrouped data.

Question 18

The local amusement park was interested in the average wait time at their most popular roller coaster at the peak park time (2 p.m. ).They selected 13 patrons and had them get in line between 2 and 3 p.m.Each was given a stopwatch to record the time they spent in line.The times recorded were as follows (in minutes).
118,124,108,116,99,120,148,118,119,121,45,130,118
What is the IQR?

Accepted Answer

A) 103 
B) 5 
C) 28 
D) 30 
E) 7

Question 19

In a statistics class,10 scores were randomly selected with the following results (mean = 71.5):
74,73,77,77,71,68,65,77,67,66
What is the range?

Accepted Answer

A) 22.72 
B) 12.00 
C) 4.77 
D) 516.20 
E) 144.00

Question 20

The following table shows the Price-to-Earnings ratio for a stereo equipment manufacturing company between 1998 and 2002. $\begin{array} { l c } 
\underline { \text { Year } } & \underline {\text { P/E Ratio }} \
1998 & 12.4 \
1999 & 14.6 \
2000 & 11.1 \
2001 & 8.2 \
2002 & 6.8
\end{array}$
Determine the percentage change in the P/E ratios from 1998 to 1999.

Accepted Answer

A) 15.07% 
B) 17.74% 
C) 20.72% 
D) -17.74% 
E) -15.07%

Exam 3: Descriptive Statistics: Numerical Methods