What degree of relationship do values of the correlation coefficient (r) with magnitudes close to 1.00 indicate?
Answer(s): B
The closer to 1, the stronger the relationship.
A researcher has a sample of 700 observations from a population whose standard deviation is known to be 1,235.6. The mean of the sample is calculated to be 219.2. The null hypothesis is stated as Ho: mean = 150 and the alternative is non-directional. The p-value in this case equals ________.
The z-statistic under the null equals (219.2 - 150)/(1235.6/(700^.5)) = 1.48. Since the alternative is non- directional, you must use a two-tailed test and ask the question, "What is the probability of observing a z- statistic at least as large in magnitude as 1.48?" The answer to this will give you the p- value for this sample under the two-tailed test. The right-tailed probability of observing a z-statistic which is at least as big as 1.48 equals 1.0 - 0.9306 = 0.0694 = 6.94%. The left-tailed probability of observing a z-statistic which is at least as small as - 1.48 also equals 6.94% since the standard normal distribution is symmetrical about zero. Therefore, the p-value of this two-tailed test in this sample equals 6.94%*2 = 13.88%.
In a sample of 2,000 persons, 1,600 favored more strict environmental protection measures. What is the estimated population proportion?
Answer(s): E
Population proportion is given by 1600/2000 = 0.80
What is the Net Present Value of this series of annual cash flows using an interest rate of 15% per year: Year0: <$10,000>, Year 1: $5,000, Year 2: $5,000, Year 3: $7,500? (Note that the <> are used to indicate a negative number).
Answer(s): C
On the BAII Plus, press CF 2nd CLRWork 10000 +/- ENTER DownArrow 5000 ENTER DownArrow DownArrow 5000 ENTER DownArrow DownArrow 7500 ENTER DownArrow DownArrow 2nd Quit. Then press NPV 15 ENTER DownArrow CPT. On the HP12C, press these keys: 10000 CHS BlueShift CFo 5000 BlueShift CFj 5000 BlueShift CFj 7500 BlueShift CFj Then press 15 i, YellowShift NPV. The "DownArrow" represents the downward-pointing arrow on the top row of the BAII Plus keyboard.
The following are the weekly amounts of welfare payments made by the federal government to a sample of six families: $139, $136, $130, $136, $147 and $136. What is the range?
Answer(s): D
Range = 147 - 130 = 17
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