Q: What is the formula for calculating Net Promoter Score (NPS)?

$NPS = (\% \text{ of Promoters}) - (\% \text{ of Detractors})$

Question 1

Which of the following best describes a primary source of data?

Accepted Answer

A source that originally collected the data.

Question 2

A company wants to measure the satisfaction of its customers using a survey. Which type of data is most likely being collected?

Accepted Answer

Qualitative data

Question 3

Which measurement scale allows for meaningful ratios and has a true zero point?

Accepted Answer

Ratio scale

Question 4

A researcher records the number of defective items produced each day. What type of variable is this?

Accepted Answer

Discrete quantitative variable

Question 5

Which of the following is NOT a component of the measurement process?

Accepted Answer

Statistical control

Question 6

A temperature reading in degrees Fahrenheit is an example of which measurement scale?

Accepted Answer

Interval

Question 7

Which aspect of accuracy in measurement is described by the following: 'If repeated measurements on the same unit give approximately the same result'?

Accepted Answer

Reliability

Question 8

What is the formula for calculating Net Promoter Score (NPS)?

Accepted Answer

$NPS = (\% 	ext{ of Promoters}) - (\% 	ext{ of Detractors})$

Question 9

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

Accepted Answer

It may be inappropriate or inadequate for answering the question of interest.

Question 10

In an experimental study, which variable does the experimenter manipulate?

Accepted Answer

Independent variable

Question 11

Which measurement scale is appropriate for classifying cars as 'compact', 'mid-size', and 'full-size'?

Accepted Answer

Ordinal

Question 12

A measurement instrument is said to be valid if:

Accepted Answer

It measures what it claims to measure.

Question 13

Which of the following is an example of a qualitative variable?

Accepted Answer

Political party affiliation

Question 14

Which of the following is a potential source of measurement error?

Accepted Answer

All of the above

Question 15

Which measurement procedure is most likely to introduce bias due to the presence of the analyst?

Accepted Answer

Personal interview

Question 16

Which of the following is NOT a step in the measurement process?

Accepted Answer

Ignore the mapping rules for the variable

Question 17

A company wants to compare the number of customer complaints this month to last month. Which measurement scale is most appropriate?

Accepted Answer

Ratio

Question 18

Which of the following best describes the goal of measurement in business statistics?

Accepted Answer

To translate the characteristics and properties of real-world phenomena into a form that can be analyzed.

Question 19

If a measurement process is unbiased but unreliable, which target shooting analogy best describes it?

Accepted Answer

Shots are scattered but centered around the true value.

Question 20

Which of the following questions should be asked before extracting information from data?

Accepted Answer

All of the above

Data and Measurement: Foundations for Business Statistics

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