Question 1

Which of the following best describes a variable measured on a nominal scale?

Accepted Answer

The type of investment (e.g., Growth, Value, Other) chosen by a client.

Question 2

A researcher wants to study the effect of a new training program on employee productivity. She randomly assigns half of the employees to receive the training and the other half to not receive it. Which type of data collection method is being used?

Accepted Answer

Designed experiment

Question 3

Which of the following is an example of a discrete numerical variable?

Accepted Answer

The number of defects per hour in a factory.

Question 4

A company wants to ensure that its sample of employees represents all departments. It divides employees into departments and randomly selects a proportional number from each. What sampling method is this?

Accepted Answer

Stratified sampling

Question 5

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

Accepted Answer

Asking a poorly worded or leading question.

Question 6

What is the main difference between a population parameter and a sample statistic?

Accepted Answer

A population parameter summarizes a variable for a population, while a sample statistic summarizes a variable for a sample.

Question 7

Which of the following is an example of a ratio scale variable?

Accepted Answer

Salary in American dollars

Question 8

A sample is selected by choosing every 10th person from a list of 1,000 employees after randomly selecting a starting point. What type of sampling is this?

Accepted Answer

Systematic sampling

Question 9

Which of the following is a primary source of data?

Accepted Answer

Collecting data from an experiment you designed.

Question 10

A survey is sent to 1,000 customers, but only 200 respond. The company is concerned that those who responded may not represent all customers. What type of survey error is this?

Accepted Answer

Nonresponse error

Question 11

Which of the following best describes cluster sampling?

Accepted Answer

Selecting groups (clusters) at random and using all or some items from those clusters.

Question 12

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

Accepted Answer

Redefining categories for a categorical variable, such as combining 'blue' and 'green' eyes into a single 'other' category.

Question 13

A company collects data on the number of products sold each day. What type of variable is this?

Accepted Answer

Discrete numerical variable

Question 14

Which of the following is a potential ethical issue in survey design?

Accepted Answer

Choosing leading questions to influence responses.

Question 15

Which of the following is NOT a step in the data cleaning process?

Accepted Answer

Randomly selecting a sample.

Question 16

A researcher uses a list of all registered voters to select a sample for a political poll. What is this list called?

Accepted Answer

Sampling frame

Question 17

Which of the following is an example of a measurement error?

Accepted Answer

Using a question that is confusing or ambiguous.

Question 18

Which of the following best describes an ordinal scale?

Accepted Answer

A scale where categories have a meaningful order but differences between values are not meaningful.

Question 19

A market researcher uses focus groups to collect unstructured responses to open-ended questions. What type of data collection method is this?

Accepted Answer

Observational study

Question 20

Which of the following is a disadvantage of cluster sampling compared to stratified sampling?

Accepted Answer

It requires a larger sample to achieve the same level of precision.

Defining and Collecting Data: Business Statistics Chapter 1 Study Notes

Study Guide - Practice Questions

Study Guide - Flashcards