Question 1

Which of the following best describes the difference between data and information in the context of business statistics?

Accepted Answer

Data are raw facts or measurements, while information is data that has been processed to be useful for a specific purpose.

Question 2

A company wants to estimate the average amount of time customers spend on its website. It collects data from a random sample of 200 customers. In this scenario, which of the following is the population?

Accepted Answer

All customers who visit the website.

Question 3

Which of the following is an example of secondary data?

Accepted Answer

A government census report used by a business for market analysis.

Question 4

A researcher collects the weights of 100 randomly selected apples from an orchard to estimate the average weight of all apples in the orchard. The average weight calculated from the 100 apples is called:

Accepted Answer

A statistic

Question 5

Which of the following is a characteristic of primary data?

Accepted Answer

It is collected by the person or organization who will use the data.

Question 6

A survey asks respondents to indicate their highest level of education (high school, bachelor’s, master’s, doctorate). What is the level of measurement for this variable?

Accepted Answer

Ordinal

Question 7

Which of the following variables is measured at the ratio level?

Accepted Answer

Income in dollars

Question 8

A business analyst collects monthly sales data for a company from January 2018 to December 2022. This type of data is best described as:

Accepted Answer

Time series data

Question 9

Which of the following is an example of a biased sample?

Accepted Answer

Surveying only employees from the marketing department and generalizing results to the entire company.

Question 10

Which of the following best describes inferential statistics?

Accepted Answer

Making claims or conclusions about a population based on sample data.

Question 11

A researcher wants to predict next year’s unemployment rate using data from the past 10 years. Which branch of statistics is being used?

Accepted Answer

Predictive statistics

Question 12

Which of the following is a potential disadvantage of using secondary data?

Accepted Answer

There is no control over how the data was collected.

Question 13

A company wants to know if a new training program improves employee productivity. They randomly assign half of their employees to receive the training and the other half to not receive it, then compare productivity. What primary data collection method is being used?

Accepted Answer

Experiment

Question 14

Which of the following is an example of nominal data?

Accepted Answer

Zip codes

Question 15

A survey question asks, 'How often do you consume alcohol?' and provides options that may encourage a particular response. This is an example of:

Accepted Answer

Response bias

Question 16

Which of the following is NOT a way statistics can be misused?

Accepted Answer

Using a random sample to generalize to the population.

Question 17

Suppose you want to compare the unemployment rates of all 50 U.S. states in 2023. The data you collect is best described as:

Accepted Answer

Cross-sectional data

Question 18

Which of the following statements about parameters and statistics is correct?

Accepted Answer

A statistic is calculated from sample data and used to estimate a parameter.

Question 19

A company collects data on the number of product defects per hour in its factory. This variable is best classified as:

Accepted Answer

Quantitative, ratio

Question 20

A researcher wants to study the effect of fertilizer type on crop yield. She applies different fertilizers to separate plots and measures the yield. Which of the following best describes the data collection method and the type of data collected?

Accepted Answer

Experiment; quantitative data

Chapter 1: An Introduction to Business Statistics – Study Notes

Study Guide - Practice Questions

Study Guide - Flashcards