FACULTY OF ECONOMICS AND BUSINESS

UNIVERSITI MALAYSIA SARAWAK

94300 Kota Samarahan, Sarawak
EBQ2024 STATISTICS FOR ECONOMICS AND BUSINESS
TUTORIAL 1

INSTRUCTIONS TO STUDENTS
Students are required to prepare solutions before coming to tutorial class. You may be
requested to submit your solutions to your Teaching Assistant in the class.

Section A (20 Marks)

1. Data
a. are always be numeric
b. are always nonnumeric
c. are the raw material of statistics
d. none of these alternatives is correct

2. The process of capturing, storing, and maintaining data is known as

a. data manipulation
b. data monitoring
c. data warehousing
d. category analysis

3. The entities on which data are collected are

a. elements
b. populations
c. samples
d. None of these alternatives is correct.

4. All the data collected in a particular study are referred to as the

a. inference
b. variable
c. data set
d. None of these alternatives is correct.

5. Arithmetic operations are inappropriate for

a. categorical data
b. quantitative data
c. both categorical and quantitative data
d. large data sets

6. Which of the following can be classified as quantitative data?

a. interval and ordinal
b. ratio and ordinal
c. nominal and ordinal
d. interval and ratio

1
Questions 7-11 refer to Exhibit 1.
The following information regarding a sample of four students is provided.

Student Gender Identification Classification Rank in Grade Point

Number Class Average
Jan Male 6376 Junior 29 2.09
Marina Female 2345 Sophomore 2 3.98
Tiffany Female 8189 Senior 1 4.00
Zack Male 4120 Freshman 12 2.91
Exhibit 1

7. Student and Identification Number are example of _______ data.

a. nominal, nominal
b. nominal, ratio
c. ordinal, ratio
d. ordinal, nominal

8. Classification is an example of ______ data.

a. nominal
b. ordinal
c. interval
d. ratio

9. Grade point average is an example of ______ data.

a. nominal
b. ordinal
c. interval
d. ratio

10. Rank in class is an example of ______ data.

a. nominal
b. ordinal
c. interval
d. ratio

11. A frequency distribution is

a. a tabular summary of a set of data showing the relative frequency
b. a graphical form of representing data
c. a tabular summary of a set of data showing the frequency of items in each of several
nonoverlapping classes
d. a graphical device for presenting categorical data

12. Fifteen percent of the students in a school of Business Administration are majoring in Economics,
20% in Finance, 35% in Management, and 30% in Accounting. The graphical device(s) which can
be used to present these data is (are)
a. a line chart
b. only a bar chart
c. only a pie chart
d. both a bar chart and a pie chart

2
13. In constructing a frequency distribution, the approximate class width is computed as
a. (largest data value - smallest data value)/number of classes
b. (largest data value - smallest data value)/sample size
c. (smallest data value - largest data value)/sample size
d. largest data value/number of classes

Questions 14-18 refer to Exhibit 2.

The numbers of hours worked (per week) by 400 students are shown below.

Number of hours Frequency

0- 9 20
10 - 19 80
20 - 29 200
30 - 39 100
Exhibit 2

14. The class width for this distribution

a. is 9
b. is 10
c. is 39, which is: the largest value minus the smallest value or 39 - 0 = 39
d. varies from class to class

15. The number of students working 19 hours or less

a. is 80
b. is 100
c. is 180
d. is 300

16. The relative frequency of students working 9 hours or less

a. is 20
b. is 100
c. is 0.95
d. 0.05

17. The percentage of students working 19 hours or less is

a. 20%
b. 25%
c. 75%
d. 80%

18. If a cumulative percent frequency distribution is developed for the above data, the last class will
have a cumulative percent frequency of
a. 100%
b. 75%
c. 50%
d. 25%

3
19. When a histogram has a longer tail to the right, it is said to be
a. symmetrical
b. skewed to the left
c. skewed to the right
d. None of these alternatives is correct.

20. In a scatter diagram, a line that provides an approximation of the relationship between the
variables is known as
a. approximation line
b. trend line
c. line of zero intercept
d. line of zero slope

Section B (30 marks)

Question 1 (10 marks)

The following information regarding the top eight Fortune 500 companies was presented in an issue
of Fortune Magazine.
Sales Sales Profits Profits
Company $ Millions Rank $ Millions Rank
General Motors 161,315 1 2,956 30
Ford Motor 144,416 2 22,071 2
Wal-Mart Stores 139,208 3 4,430 14
Exxon 100,697 4 6,370 5
General Electric 100,469 5 9,269 3
Int'l Business Machines 81,667 6 6,328 6
Citigroup 76,431 7 5,807 8
Philip Morris 57,813 8 5,372 9
Boeing 56,154 9 1,120 82
AT&T 53,588 10 6,398 4

a. How many elements are in the above data set? (1 mark)

b. How many variables are in this data set? (1 mark)
c. How many observations are in this data set? (1mark)
d. Which variables are categorical and which are quantitative variables? (3marks)
e. What measurement scale is used for each variable? (4marks)

Question 2 (10 marks)

The following data set shows the number of hours of sick leave that some of the employees of
Bastien's, Inc. have taken during the first quarter of the year (rounded to the nearest hour).

19 22 27 24 28 12
23 47 11 55 25 42
36 25 34 16 45 49
12 20 28 29 21 10
59 39 48 32 40 31

4
 a. Develop a frequency distribution for the above data. (Let the width of your classes be 10
units and start your first class as 10 - 19.) (3 marks)
b. Develop a relative frequency distribution and a percent frequency distribution for the data. (3
marks)
c. Develop a cumulative frequency distribution. (3 marks)
d. How many employees have taken less than 40 hours of sick leave? (1 mark)

Question 3 (10 marks)

Construct a stem-and-leaf display for the following data. (10 marks)

12 52 51 37 47 40 38 26 57 31
49 43 45 19 36 32 44 48 22 18