Business Statistics

QM-230

Basic Information

Program BBA(H),BBIS,BSEF
Semester Fall 2014
Credit Hours 3
Pre requisites (if any) Business Mathematics, QM-110
Resource Person
Contact information

Course Description:
Important decisions are rarely made by intuition alone. We need to use the data to develop our insights
and to support our analysis. Quantitative analysis includes the tools and techniques with which we seek to
replicate reality mathematically and statistically. Statistical Techniques are applied in all the functions of
business like Operations, Marketing, HR, Finance etc.
The aim of this course is to learn when a technique is appropriate and what it can achieve. The emphasis
throughout the course is on concepts and reasoning rather than technical details. You should acquire
some basic data analysis skills but most importantly, become a more informed and critical producer and
user of business Statistical analyses.

Learning Objectives:
Ser Course Learning Objectives
.#
1 To understand the basic concepts and
principles used in Business Statistics.
2 Organizing qualitative and
quantitative data into a frequency
table, displaying the data through
charts and graphs, describing and
exploring data through different
numerical measures.
3 To know and understand probability
and its different rules.
4 To clearly identify and understand
statistical concepts like probability
and sampling distribution helpful for
understanding more advanced
concepts like estimation and
hypothesis testing.
Link with Program Learning Objectives
To inculcate business knowledge and analytical skills
in graduates to think decisively in order to develop
innovative solutions to problems in a business
environment.
To provide a progressive and structured framework to
graduates that enables them in developing and
applying knowledge set of critical and ethical
evaluation.
To craft graduates’ expertise in order to increase their
resourcefulness.
To develop critical thinking skills for the purpose of
evaluating information, solving problems, and making
sound decisions.

Textbooks & Supplies:

________________________________________________________________________School of Business
& Economics QM-120 University of Management and Technology
 1. Business Statistics: A Decision-Making Approach (8th Edition)
By: David F. Groebner, Patrick W. Shannon, Phillip C. Fry, Kent D. Smith
Supplementary Material:
2. Statistical Techniques in Business and Economics (13th Edition)
By: Douglas A. Lind, William G. Marchal, and David Wathen
3. Essentials of Modern Business Statistics with Microsoft Excel (3rd Edition)
By: Anderson and Sweeny
Web links:
moodle.umt.edu.pk
Email Addresses
Participants should establish their email accounts on the UMT email system, and use this address for all
types of academic communications during this course.
Moodle
Participants should regularly visit the course website on MOODLE Course Management system, and
fully benefit from its capabilities

Classroom Behavior:
Positive and constructive class participation will be monitored for each class. Particular emphasis will be
given during the presentation sessions. The manner in which the question is asked or answered will also
be noted. Your behaviour, as business executive will contribute to the class participation marks.
Participant Responsibilities:
The learning process is based on independent work with texts, textbook, and cases supported by lectures
and assignments/cases - see schedule. Participants are supposed to have read the text chapters under
discussion in advance. Questions answered to these text chapters, will contribute to the class participation
marks.

Use of Unfair Means

Participants are expected to do their own work in their assignments, quizzes and exams. They are always
encouraged to discuss with each other but the assignments, quizzes and exams should be their own work
reflecting their own effort and intellect. The School of Business & Economics is VERY STRICT against
any action of plagiarism, copying and cheating. So don’t put yourself in any embarrassing position that
may mar your career. In summary, any or all of these actions may be taken against you in case of
cheating.
 Zero Point for the assignment/quiz/exam
 Case would be sent to UMC Committee

Use of Mobile Phones and Other Electronic Devices

________________________________________________________________________School of Business
& Economics QM-120 University of Management and Technology
  Use of mobile phones and similar devices is prohibited during the class
 Your phone should not be heard or visible during the class
 All mobile phones should be turned-off (or at least in the “silent” mode) and secured in pockets or
bags during the class time, and may not be used for ANY purpose, including
calculations, time-keeping, etc. In case you are anticipating an emergency call, you need to
discuss this matter with the resource person BEFORE the start of the class

Entering and Leaving the Classroom

You are requested to seek permission from the resource person while entering or leaving the classroom
during the session

Tests and Grading:

According to new grading policy participants are supposed to obtain 50% marks in 70% evaluation and
50% marks in their final exam. Passing marks are 50% of total assessment.
Quizzes/Class Participation:
Quizzes will be taken according to calendar of activities. The quizzes are aimed at evaluating the
participants’ understanding and clarity of different concepts. Some corrective action will be taken if
necessary, to fill the gap between desired and actual. Surprise quizzes may also be taken.

Required Material
Participants are required to bring the following in every class they come to attend:
1. Textbook
2. Calculator
3. Ring file (for notes)
4. Lead pencil (and accessories) (optional)

NOTE: Failure to bring any of the first three things or being absent or late in a class, may result in a loss
of marks in your class participation, and may adversely affect your final grade.
Assessment Mode and Weightage
1. Quizzes 20%
2. Assignments 15%
3. Project/Presentation 10%
4. Class Participation 5%
5. Mid Term 20%
6. End Term 30%

Calendar of Activities
Readings Expected Learning objective
Sess Topics to be Covered & Page Quizzes
________________________________________________________________________School of Business
& Economics QM-120 University of Management and Technology
 Assignments
. Numbers
and Problems

The What, Where, Why, and How of

Data Collection: To learn the importance of
CH: 1 Business, data in real life, how to
 What is Statistics and Business economics &
Statistics? transform data into
Page: finance
 Population & Sample information, the role of
1-3 1-15 applications
 Parameter & Statistic discussions business statistics in terms of
 Data & its types David F. practical applications of
 Data Collection Methods Groebner Assignment # 1 statistics in business and
 Variable Identification corporate world.
 Qualitative and Quantitative
The What, Where, Why, and How of CH:1
Business,
Data Collection: economics & To understand similarities and
Page:
 Data Measurement Levels finance differences between different
16-23
4-5  Descriptive Statistics applications sampling methods, to understand
 Inferential Statistics David F.
discussions how to categorize data by type
 Survey & Design of Sampling and level of measurements.
Groebner
 Identification of Sampling Quiz # 1
procedures
Describing the Data:
 Frequency Distributions a Business,
 Group Data Frequency CH:2 To learn some of the most
economics &
Distributions frequently used tools and
6-7 finance
 Steps for constructing frequency Page: techniques for describing the
applications
distributions 31-49 data.
discussions
 Relative and Joint Frequency David F.
Distribution Groebner
Graphical Presentation of Data :
CH:2 Business,
 Histogram
economics &
 Relative Frequency Histograms and To construct and interpret a
Page: finance
Ogives frequency histogram, various
54 - 72 applications
7-9  Bar Chart, Pie Charts types of bar charts, interpreting
discussions
 Stem and Leaf Diagrams David F. trends trough line and scatter
 Line Charts and Scatter Diagrams Groebner graphs of data.
Assignment # 2
Quiz # 2

Describing Data using Numerical

Measures:
CH:3 Business,
 Measures of Centre and To interpret mean, median,
Location: economics &
Page: mode, and weighted mean for a
 Parameters and Statistics finance
91- 107 set of data and understand what
10–11 applications
 Population and Sample Mean these values represent, to
David F. discussions
 Median and Mode construct box and whisker plot
 Weighted Mean, Percentiles, Groebner and interpret it.
Quiz # 3
Quartiles
 Box and Whisker Plots
12-14 CH:3 Business, To compute the range,
Describing Data using Numerical economics & interquartile range, variance,
Measures: Page: finance variance, and standard deviation
 Measures of Variation: 115 - 132 applications and know what these values
 Range and Interquartile Range discussions mean, to compute a z score and
________________________________________________________________________School of Business
& Economics QM-120 University of Management and Technology
  Quartile Deviation
 Population Variance & Standard
Deviation
 Sample Variance & Standard the coefficient of variation and
Deviation David F.
Assignment # 3 understand how they are applied
Groebner
 Coefficient of Variation in decision making situations.
 The Empirical Rule
 Tchebysheff’s Theorem
 Standardized Data Values

15-16 Mid Term Review Session

Using Probability and Probability

Distributions: Business,
 The Basics of Probability economics & To understand three approaches
CH:4
 Important Probability Terms Page: finance to assigning probabilities, to be
 Methods of Assigning Probability 157-187 applications able to understand the conditions
17-20
 The Rules of Probability discussions where addition and
 Addition Rules David F. multiplication rules are applied,
 Measuring Probability Groebner Assignment # 4 to understand and interpret the
 Conditional Probability Quiz # 4 conditional probability.
 Multiplication Rules
Discrete Probability Distributions:
 Random Variables
 Displaying Discrete Probability
Distributions Graphically
 Mean and Standard Deviation
Discrete Probability Distributions
 Binomial Probability Distribution CH:5 To be able to calculate and
 Characteristics of Binomial Business, interpret the expected value of
Probability Distribution Page: economics & discrete random variable, and to
 Mean and Standard Deviation of 203 - 238 finance apply the binomial and other
21-23 Binomial Probability Distribution applications discrete probability distributions
 Other Discrete Probability David F. discussions to business decision-making
Distributions Groebner situations.
Quiz # 5
Introduction to Continuous
Probability Distributions:
 The Normal Probability Business, To understand and deal with
Distribution CH:6 economics & application situations where
 The Standard Normal Probability finance random variable is continuous
Distribution Page: applications instead of discrete, to determine
24-27  Approximate Area under the 251 - 272 discussions the probabilities using the
Normal Curve standard normal distribution, and
 Uniform Probability Distribution David F. Assignment # 5 to calculate the probabilities
 The Exponential Probability Groebner associated with uniform and
Distribution Quiz # 6 exponential random variable.

Introduction to Sampling To introduce to the important

Distributions: CH:7 concepts of sampling error
28-30 and sampling distributions and
 Sampling Error: What it is and
Business, discuss how this knowledge
Why it Happens Page:
economics &
 Calculating Sampling Error 285 - 315 can be used to answer the
finance
 The Role of Sample Size in applications
questions faced quite regularly
Sampling Error David F. by the marketing executives
________________________________________________________________________School of Business
& Economics QM-120 University of Management and Technology
  Sampling Distribution of the
Mean
 The Central Limit Theorem
 Sampling Distribution of a Groebner and the quality engineers in
discussions
Proportion different situations.
 Working with Proportions
 Sampling Distribution of P

________________________________________________________________________School of Business
& Economics QM-120 University of Management and Technology