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business school claims that only 15% of its students are still unemployed one year after graduation.

INSTRUCTIONS TO CANDIDATES
ANSWER ALL QUESTIONS

1. Multiple-choice section

1-1 Business school

A business school claims that only 15% of its students are still unemployed one year after graduation.  You are suspicious the school may not be living up to its claim (i.e., that the actual unemployment rate is higher) and have collected a random sample of 130 students from the school that graduated a little over a year ago.  You find that 24 of them have not yet found a job. What is the p-value of the test for the school’s claim?  (Hint: use the parameter testing.xlsx template).

A.      0,1345

B.      0,1846

C.      0,2690

D.      0,8655

Answer:

1-2 Brexit

A political scientist wishes to estimate the proportion of British people who are still in favor of leaving the EU.  How large a sample should she collect to estimate this proportion with an error margin of no more than 2 percentage points (at 95% confidence)?

A.      2401

B.      626

C.      102

D.      There is not enough information to tell.

Answer:

1-3 Interval vs. point estimate

An interval estimate is typically preferred over a point estimate because …

A.      it gives us the probability that it contains the true parameter (e.g., 95%).

B.      it provides us with more possible parameter values.

C.      it gives us a sense of the accuracy of the point estimate.

D.      All of the above.

Answer:

1-4 Margin of error

A 95% confidence interval for the average hours of TV watching by residents in Frederiksberg Kommune, based on a random sample of 200 residents is an example of…

A.      a parameter.

B.      a summary measure.

C.      descriptive statistics.

D.      inferential statistics.

Answer:

1-5 Graphing

Parking in central Copenhagen has become a major issue. City planners would like to determine the average time it takes a person to find a parking spot from the time they arrive in the City Center.  Drivers participating in the study were asked to record the time between entering the center and pulling into a parking spot.  Which of the following would not be appropriate for displaying the search time data?

A.      Histogram

B.      Box plot

C.      Pie chart

D.      None of these should be used

Answer:

1-6 Tennis serves

At a tennis tournament a statistician keeps track of every serve that a player hits. He finds that the mean serve speed of a particular player is 158 km/h and that the distribution of serve speeds is skewed to the left. Which of the following values might then be the median serve speed?

A.      142 km/h

B.      150 km/h

C.      158 km/h

D.      166 km/h

Answer:

1-7 Sensitive to outliers

Which of the following numerical summary measures is NOT sensitive to outliers in a dataset?

A.      Mean

B.      Standard deviation

C.      Range

D.      Inter-quartile range

Answer:

1-8 Correlation coefficient

Which of the following statements about the correlation coefficient r between X and Y is NOT correct?

A.      r does not depend upon the units of X and Y.

B.      r does not depend upon which variable is treated as the response variable.

C.      r is always between -1 and +1.

D.      r measures the strength of any kind of relationship between X and Y.

Answer:

1-9 Lurking variable

A study shows that the amount of chocolate consumed in Mexico City and the number of automobile accidents is positively related.  Which of the following could be a potential lurking variable?

A.      Vehicle speeds

B.      Urban infrastructure

C.      Population growth

D.      No lurking variable.

Answer:

1-10 Sample frame

Ideally, the sample frame includes …

A.      a simple random sample.

B.      a convenience sample.

C.      the entire sample.

D.      the entire population of interest.

Answer:

 

1-12 Sampling distribution

The closer the true proportion  is to either 0 or 1, the larger the sample size  must be in order for the sampling distribution of the sample proportion  to …

A.      be approximately normal (bell-shaped).

B.      be unbiased, i.e. centered at the true value .

C.      be a consistent estimate of .

D.      have a standard deviation of .

Answer:

1-13 Multiple regression equation

In a multiple regression problem involving two explanatory variables , if the coefficient  is estimated to be , it means that …

A.      the relationship between  and  is significant.

B.      the predicted value  will increase by  units if we increase  by 1 unit and hold  constant.

C.      the predicted value  will increase by  units if we increase  by 1 unit whether or not we make any changes in

D.      the predicted value  when .

Answer:

1-14 P-value

A large p-value indicates that …

A.      there is no evidence against the null hypothesis

B.      the null hypothesis is most likely true

C.      the alternative hypothesis is not plausible

D.      the alternative hypothesis is plausible

Answer:

1-15 Dependent sampling

The main advantage of dependent (paired) sampling over independent sampling to compare two conditions is that …

A.      it requires fewer subjects and is therefore cheaper.

B.      it allows one to eliminate the variation between pairs and thus focus more on the difference between the two conditions for each pair.

C.      it leads to a larger difference between the two conditions

D.      it creates more variation between pairs, allowing for a wider range of observations.

Answer:

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