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Chapter 02

Data Collection
 

True / False Questions

 

1 Categorical data have values that are described by words rather than numbers. 
.  
True    False
 
2 Numerical data can be either discrete or continuous. 
.  
True    False
 
3 Categorical data are also referred to as nominal or qualitative data. 
.  
True    False
 
4 The number of checks processed at a bank in a day is an example of categorical data. 
.  
True    False
 
5 The number of planes per day that land at an airport is an example of discrete data. 
.  
True    False
 
6 The weight of a bag of dog food is an example of discrete data. 
.  
True    False
 
7 In last year's annual report, Thompson Distributors indicated that it had 12 regional
. warehouses. This is an example of ordinal level data. 
 
True    False
 
8 Nominal data refer to data that can be ordered in a natural way. 
.  
True    False
 
9 This year, Oxnard University produced two football All-Americans. This is an example of
. continuous data. 
 
True    False
 
1 The type of statistical test that we can perform is independent of the level of measurement of
0 the variable of interest. 
.  
True    False
 

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1 Your weight recorded at your annual physical would not be ratio data, because you cannot
1 have zero weight. 
.  
True    False
 
1 The level of measurement for categorical data is nominal. 
2  
. True    False
 
1 Temperature measured in degrees Fahrenheit is an example of interval data. 
3  
. True    False
 
1 The closing price of a stock is an example of ratio data. 
4  
. True    False
 
1 The Statistical Abstract of the United States is a huge annual compendium of data for the
5 United States, and it is available online free of charge. 
.  
True    False
 
1 Ordinal data can be treated as if it were nominal data but not vice versa. 
6  
. True    False
 
1 Responses on a seven-point Likert scale are usually treated as ratio data. 
7  
. True    False
 
1 Likert scales are especially important in opinion polls and marketing surveys. 
8  
. True    False
 
1 Ordinal data are data that can be ranked based on some natural characteristic of the items. 
9  
. True    False
 
2 Ratio data are distinguished from interval data by the presence of a zero reference point. 
0  
. True    False
 
2 It is better to attempt a census of a large population instead of relying on a sample. 
1  
. True    False
 
2 Judgment sampling and convenience sampling are nonrandom sampling techniques. 
2  
. True    False
 
2 A problem with judgment sampling is that the sample may not reflect the population. 
3  
. True    False
 

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2 When the population is large, a sample estimate is usually preferable to a census. 
4  
. True    False
 
2 Sampling error is avoidable by choosing the sample scientifically. 
5  
. True    False
 
2 A sampling frame is used to identify the target population in a statistical study. 
6  
. True    False
 
2 By taking a systematic sample, in which we select every 50th shopper arriving at a specific
7 store, we are approximating a random sample of shoppers. 
.  
True    False
 
2 A worker collecting data from every other shopper who leaves a store is taking a simple
8 random sample of customer opinion. 
.  
True    False
 
2 Creating a list of people by taking the third name listed on every 10 th page of the phone book is
9 an example of convenience sampling. 
.  
True    False
 
3 Internet surveys posted on popular websites have no bias since anyone can reply. 
0  
. True    False
 
3 Analysis of month-by-month changes in stock market prices during the most recent recession
1 would require the use of time series data. 
.  
True    False
 
3 A cluster sample is a type of stratified sample that is based on geographical location. 
2  
. True    False
 
3 An advantage of a systematic sample is that no list of enumerated data items is required. 
3  
. True    False
 
3 Telephone surveys often have a low response rate and fail to reach the desired population. 
4  
. True    False
 
3 Mail surveys are attractive because of their high response rates. 
5  
. True    False
 
3 A problem with convenience sampling is that the target population is not well defined. 
6  
. True    False
 

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3 If you randomly sample 50 students about their favorite places to eat, the data collected would
7 be referred to as cross-sectional data. 
.  
True    False
 
3 The number of FedEx shipping centers in each of 50 cities would be ordinal level data. 
8  
. True    False
 
3 Internet surveys posted on popular websites such as MSN.com suffer from nonresponse bias. 
9  
. True    False
 
4 Different variables are usually shown as columns of a multivariate data set. 
0  
. True    False
 
4 Each row in a multivariate data matrix is an observation (e.g., an individual response). 
1  
. True    False
 
4 A bivariate data set has only two observations on a variable. 
2  
. True    False
 
4 Running times for 3,000 runners in a 5k race would be a multivariate data set. 
3  
. True    False
 
4 Running times for 500 runners in a 5k race would be a univariate data set. 
4  
. True    False
 
4 A list of the salaries, ages, and years of experience for 50 CEOs is a multivariate data set. 
5  
. True    False
 
4 The daily closing price of Apple stock over the past month would be a time series. 
6  
. True    False
 
4 The number of words on 50 randomly chosen textbook pages would be cross-sectional data. 
7  
. True    False
 
4 A Likert scale with an even number of scale points between "Strongly Agree" and "Strongly
8 Disagree" is intended to prevent "neutral" choices. 
.  
True    False
 
4 Private statistical databases (e.g., CRSP) are usually free. 
9  
. True    False
 
 

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Multiple Choice Questions

 

5 An investment firm rates bonds for AardCo Inc. as "B+," while bonds of Deva Corp. are rated
0 "AA." Which level of measurement would be appropriate for such data? 
.  

A Nomi
. nal
 
B Ordi
. nal
 
C Inter
. val
 
D R
. ati
  o
 
5 Which variable is least likely to be regarded as ratio data? 
1  
.
A Length of time required for a randomly chosen vehicle to cross a toll bridge
. (minutes)
 
B Weight of a randomly chosen student
. (pounds)
 
C Number of fatalities in a randomly chosen traffic disaster
. (persons)
 
D Student's evaluation of a professor's teaching (Likert
. scale)
 
 
5 Which of the following is numerical data? 
2  
.
A Your
. gender
 
B The brand of cell phone you
. own
 
C Whether you have an American Express
. card
 
D The fuel economy (MPG) of your
. car
 
 

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5 Measurements from a sample are called: 
3  
.
A statisti
. cs.
 
B inferenc
. es.
 
C paramete
. rs.
 
D variabl
. es.
 
 
5 Quantitative variables use which two levels of measurement? 
4  
.
A Ordinal and
. ratio
 
B Interval and
. ordinal
 
C Nominal and
. ordinal
 
D Interval and
. ratio
 
 
5 Temperature in degrees Fahrenheit is an example of a(n) __________ variable. 
5  
.
A nomi
. nal
 
B ordi
. nal
 
C inter
. val
 
D r
. at
  io
 

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5 Using a sample to make generalizations about an aspect of a population is called: 
6  
.
A data
. mining.
 
B descriptive
. statistics.
 
C random
. sampling.
 
D statistical
. inference.
 
 
5 Your telephone area code is an example of a(n) ____________ variable. 
7  
.
A nomi
. nal
 
B ordi
. nal
 
C inter
. val
 
D r
. at
  io
 
5 Which is least likely to be regarded as a ratio variable? 
8  
.
A A critic's rating of a restaurant on a 1 to 4
. scale
 
B Automobile exhaust emission of nitrogen dioxide (milligrams per
. mile)
 
C Number of customer complaints per day at a cable TV company
. office
 
D Cost of an eBay
. purchase
 
 

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5 Automobile exhaust emission of CO2 (milligrams per mile) is ____________ data. 
9  
.
A nomi
. nal
 
B ordi
. nal
 
C inter
. val
 
D r
. at
  io
 
6 Your rating of the food served at a local restaurant using a three-point scale of 0 = gross, 1 =
0 decent, 2 = yummy is ___________ data. 
.  

A nomi
. nal
 
B ordi
. nal
 
C inter
. val
 
D r
. at
  io
 
6 The number of passengers "bumped" on a particular airline flight is ____________ data. 
1  
.
A nomi
. nal
 
B ordi
. nal
 
C inter
. val
 
D r
. at
  io
 

2-8
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6 Which should not be regarded as a continuous random variable? 
2  
.
A Tonnage carried by a randomly chosen oil tanker at
. sea
 
B Wind velocity at 7 o'clock this
. morning
 
C Number of personal fouls by the Miami Heat in a
. game
 
D Length of time to play a Wimbledon tennis
. match
 
 
6 Which of the following is not true? 
3  
.
A Categorical data have values that are described by words rather than
. numbers.
 
B Categorical data are also referred to as nominal or qualitative
. data.
 
C The number of checks processed at a bank in a day is categorical
. data.
 
D Numerical data can be either discrete or
. continuous.
 
 
6 Which of the following is true? 
4  
.
A The type of charge card used by a customer (Visa, MasterCard, AmEx) is ordinal
. data.
 
B The duration (minutes) of a flight from Boston to Minneapolis is ratio
. data.
 
C The number of Nobel Prize-winning faculty at Oxnard University is continuous
. data.
 
D The number of regional warehouses owned by Jankord Industries is ordinal
. data.
 
 

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6 Which statement is correct? 
5  
.
A Judgment sampling is preferred to systematic
. sampling.
 
B Sampling without replacement introduces bias in our estimates of
. parameters.
 
C Cluster sampling is useful when strata characteristics are
. unknown.
 
D Focus groups usually work best without a
. moderator.
 
 
6 A Likert scale: 
6  
.
A yields interval data if scale distances are
. equal.
 
B must have an odd number of scale
. points.
 
C must have a verbal label on each scale
. point.
 
D is rarely used in marketing
. surveys.
 
 
6 Which is most nearly correct regarding sampling error? 
7  
.
A It can be eliminated by increasing the sample
. size.
 
B It cannot be eliminated by any statistical sampling
. method.
 
C It can be eliminated by using Excel's =RANDBETWEEN()
. function.
 
D It can be eliminated by utilizing systematic random
. sampling.
 
 

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6 Which statement is false? 
8  
.
A Random dialing phone surveys have low response and are poorly
. targeted.
 
B Selection bias means that many respondents dislike the
. interviewer.
 
C Simple random sampling requires a list of the
. population.
 
D Web surveys are economical but suffer from nonresponse
. bias.
 
 
6 Judgment sampling is sometimes preferred over random sampling, for example, when: 
9  
.
A the desired sample size is much larger than the
. population.
 
B the sampling budget is large and the population is conveniently
. located.
 
C time is short and the sampling budget is
. limited.
 
D the population is readily accessible and sampling is
. nondestructive.
 
 
7 An advantage of convenience samples is that: 
0  
.
A the required sample size is easier to
. calculate.
 
B sampling error can be
. reduced.
 
C computation of statistics is
. easier.
 
D they are often quicker and
. cheaper.
 
 

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7 Before deciding whether to assess heavy fines against noisy airlines, which sampling method
1 would the Federal Aviation Administration probably use to measure the peak noise from
. departing jets as measured by a ground-level observer at a point one mile from the end of the
departure runway? 
 

A Radio survey of
. pilots.
 
B Simple random
. sample.
 
C Judgment
. sample.
 
D Stratified
. sample.
 
 
7 Professor Hardtack chose a sample of 7 students from his statistics class of 35 students by
2 picking every student who was wearing red that day. Which kind of sample is this? 
.  

A Simple random
. sample
 
B Judgment
. sample
 
C Systematic
. sample
 
D Convenience
. sample
 
 
7 Thirty work orders are selected from a filing cabinet containing 500 work order folders by
3 choosing every 15th folder. Which sampling method is this? 
.  

A Simple random
. sample
 
B Systematic
. sample
 
C Stratified
. sample
 
D Cluster
. sample
 
 

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7 Which of the following is not a likely reason for sampling? 
4  
.
A The destructive nature of certain
. tests
 
B The physical impossibility of checking all the items in the
. population
 
C Prohibitive cost of studying the entire
. population
 
D The expense of obtaining random
. numbers
 
 
7 Comparing a census of a large population to a sample drawn from it, we expect that the: 
5  
.
A sample is usually a more practical method of obtaining the desired
. information.
 
B accuracy of the observations in the census is surely higher than in the
. sample.
 
C sample must be a large fraction of the population to be
. accurate.
 
 
7 A stratified sample is sometimes recommended when: 
6  
.
A the sample size is very
. large.
 
B the population is small compared to the
. sample.
 
C distinguishable strata can be identified in the
. populations.
 
D the population is spread out
. geographically.
 
 

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7 A random sample is one in which the: 
7  
.
A probability that an item is selected for the sample is the same for all population
. items.
 
B population items are selected haphazardly by experienced
. workers.
 
C items to be selected from the population are specified based on expert
. judgment.
 
D probability of selecting a population item depends on the item's data
. value.
 
 
7 An advantage of convenience samples over random samples is that: 
8  
.
A they are easy to
. analyze.
 
B it is easier to determine the sample size
. needed.
 
C it is easier to calculate the sampling errors
. involved.
 
D data collection cost is
. reduced.
 
 
7 To measure satisfaction with its cell phone service, AT&T takes a stratified sample of its
9 customers by age, gender, and location. Which is an advantage of this type of sampling, as
. opposed to other sampling methods? 
 

A It is less intrusive on customers'

. privacy.
 
B It does not require random
. numbers.
 
C It gives faster
. results.
 
D It can give more accurate
. results.
 
 

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8 An accounting professor wishing to know how many MBA students would take a summer
0 elective in international accounting did a survey of the class she was teaching. Which kind of
. sample is this? 
 

A Simple random
. sample
 
B Cluster
. sample
 
C Systematic
. sample
 
D Convenience
. sample
 
 
8 A binary variable (also called a dichotomous variable or dummy variable) has: 
1  
.
A only two possible
. values.
 
B continuous scale
. values.
 
C rounded data
. values.
 
D ordinal or interval
. values.
 
 
8 A population has groups that have a small amount of variation within them, but large variation
2 among or between the groups themselves. The proper sampling technique is: 
.  

A simple
. random.
 
B stratifi
. ed.
 
C clust
. er.
 
D judgme
. nt.
 
 

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8 A manager chose two people from his team of eight to give an oral presentation because she
3 felt they were representative of the whole team's views. What sampling technique did she use
. in choosing these two people? 
 

A Convenie
. nce
 
B Simple
. random
 
C Judgm
. ent
 
D Clus
. ter
 
 
8 Sampling bias can best be reduced by: 
4  
.
A using appropriate data
. coding.
 
B having a computer tabulate the
. results.
 
C utilizing random
. sampling.
 
D taking a judgment
. sample.
 
 
8 A sampling technique used when groups are defined by their geographical location is: 
5  
.
A cluster
. sampling.
 
B convenience
. sampling.
 
C judgment
. sampling.
 
D random
. sampling.
 
 

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8 If we choose 500 random numbers using Excel's function =RANDBETWEEN(1,99), we would
6 most likely find that: 
.  

A numbers near the mean (50) would tend to occur more

. frequently.
 
B numbers near 1 and 99 would tend to occur less
. frequently.
 
C some numbers would occur more than
. once.
 
D the numbers would have a clear
. pattern.
 
 
8 A problem with nonrandom sampling is that: 
7  
.
A larger samples need to be taken to reduce the sampling error inherent in this
. approach.
 
B not every item in the population has the same chance of being selected, as it
. should.
 
C it is usually more expensive than random
. sampling.
 
D it generally provides lower response rates than random
. sampling.
 
 
8 From its 32 regions, the FAA selects 6 regions, and then randomly audits 25 departing
8 commercial flights in each region for compliance with legal fuel and weight requirements. This
. is an example of: 
 

A simple random
. sampling.
 
B stratified random
. sampling.
 
C cluster
. sampling.
 
D judgment
. sampling.
 
 

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8 Which of the following is a correct statement? 
9  
.
A Choosing the third person listed on every fifth page of the phone book is stratified
. sampling.
 
B An advantage of a systematic sample is that no list of enumerated data items is
. required.
 
C Convenience sampling is used to study shoppers in convenience
. stores.
 
D Judgment sampling is an example of true random
. sampling.
 
 
9 Which of the following is false? 
0  
.
A Sampling error is the difference between the true parameter and the sample
. estimate.
 
B Sampling error is a result of unavoidable random variation in a
. sample.
 
C A sampling frame is chosen from the target population in a statistical
. study.
 
D The target population must first be defined by a full list or data file of all
. individuals.
 
 
9 When we are choosing a random sample and we do not place chosen units back into the
1 population, we are: 
.  

A sampling with
. replacement.
 
B sampling without
. replacement.
 
C using a systematic
. sample.
 
D using a voluntary
. sample.
 
 

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9 Which method is likely to be used by a journalism student who is casually surveying opinions of
2 students about the university's cafeteria food for an article that she is writing? 
.  

A Simple random
. sample
 
B Systematic random
. sample
 
C Cluster
. sample
 
D Convenience
. sample
 
 
9 Which of the following is false? 
3  
.
A Mail surveys are cheap but have low response
. rates.
 
B Coverage error is when respondents give untruthful
. answers.
 
C Focus groups are nonrandom but can probe issues more
. deeply.
 
D Surveys posted on popular websites suffer from selection
. bias.
 
 
9 Which is a time series variable? 
4  
.
A VISA balances of 30 students on December 31 of this
. year
 
B Net earnings reported by Xena Corp. for the last 10
. quarters
 
C Dollar exchange rates yesterday against 10 other world
. currencies
 
D Titles of the top 10 movies in total revenue last
. week
 
 

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9 An observation in a data set would refer to: 
5  
.
A only a variable whose value is recorded by visual
. inspection.
 
B a data item whose value is numerical (as opposed to
. categorical).
 
C a single row that contains one or more observed
. variables.
 
D the values of all the variables in the entire data
. set.
 
 
9 A multivariate data set contains: 
6  
.
A more than two
. observations.
 
B more than two categorical
. variables.
 
C more than two
. variables.
 
D more than two levels of
. measurement.
 
 
9 The Centers for Disease Control and Prevention (CDC) wants to estimate the average extra
7 hospital stay that occurs when heart surgery patients experience postoperative atrial fibrillation.
. They divide the United States into nine regions. In each region, hospitals are selected at
random within each hospital size group (small, medium, large). In each hospital, heart surgery
patients are sampled according to known percentages by age group (under 50, 50 to 64, 65
and over) and gender (male, female). This procedure combines which sampling methods? 
 

A Systematic, simple random, and

. convenience
 
B Convenience, systematic, and
. judgment
 
C Cluster, stratified, and simple
. random
 
D Judgment, systematic, and simple
. random
 
 

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9 Which statement is correct? 
8  
.
A Selecting every fifth shopper arriving at a store will approximate a random sample of
. shoppers.
 
B Selecting only shoppers who drive SUVs is a stratified sampling
. method.
 
C A census is preferable to a sample for most business
. problems.
 
D Stratified samples are usually cheaper than other
. methods.
 
 
9 Which is a categorical variable? 
9  
.
A The brand of jeans you usually
. wear
 
B The price you paid for your last pair of
. jeans
 
C The distance to the store where you purchased your last pair of
. jeans
 
D The number of pairs of jeans that you
. own
 
 
1 Which is a discrete variable? 
0  
0.
A The time it takes to put on a pair of
. jeans
 
B The price you paid for your last pair of
. jeans
 
C The distance to the store where you purchased your last pair of
. jeans
 
D The number of pairs of jeans that you
. own
 
 

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1 A section of the population we have targeted for analysis is: 
0  
1.
A a
. statistic
  .
B a
. frame
  .
C a
. sample
  .
D a
. coven
  .
 
1 Which is not a time series variable? 
0  
2.
A Closing checkbook balances of 30 students on December 31 of this
. year
 
B Net earnings reported by Xena Corp. for the last 10
. quarters
 
C Dollar/euro exchange rates at 12 noon GMT for the last 30
. days
 
D Movie attendance at a certain theater for each Saturday last
. year
 
 
1 A good Likert scale may not have: 
0  
3.
A unequal distances between scale
. points.
 
B an odd number of scale
. points.
 
C a verbal label on each scale
. point.
 
D verbal anchors at its end
. points.
 
 

2-22
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edition-doane
1 A Likert scale with an odd number of scale points between "Strongly Agree" and "Strongly
0 Disagree": 
4.  

A cannot have equal scale

. distances.
 
B cannot have a neutral middle
. point.
 
C must have a verbal label on each scale
. point.
 
D is often used in marketing
. surveys.
 
 
1 A Likert scale with an even number of scale points between "Strongly Agree" and "Strongly
0 Disagree": 
5.  

A cannot have equal scale

. distances.
 
B is intended to prevent "neutral"
. choices.
 
C must have a verbal label on each scale
. point.
 
D is rarely used in
. surveys.
 
 
1 Which statement is correct? 
0  
6.
A Analysts rarely consult business periodicals (e.g., Bloomberg
. Businessweek).
 
B Web searches (e.g., Google) often yield unverifiable
. data.
 
C Government data sources (e.g., www.bls.gov) are often
. costly.
 
D Private statistical databases (e.g., CRSP) are usually
. free.
 
 

2-23
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edition-doane
1 Which statement is correct? 
0  
7.
A Analysts avoid business periodicals (e.g., Bloomberg
. Businessweek).
 
B Web searches (e.g., Google) yield reliable and easily verified
. data.
 
C Government data sources (e.g., www.bls.gov) usually are
. free.
 
D Private statistical databases (e.g., CRSP) usually are
. free.
 
 
 

Short Answer Questions

 

1 Which survey method would you recommend to survey opinions of airline passengers about
0 the cleanliness of the restrooms in the Detroit airport? Why not the others? 
8.  

 
1 What kind of sampling method would you suggest in order to tabulate the number of formulas
0 on a typical page of the Doane-Seward textbook? Defend your choice. 
9.  

2-24
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1 How would you design a study to see whether drivers using hands-free cell phones are
1 distracted enough to slow their reactions to emergency situations? How would you collect
0. data? 
 

 
1 Explain the concept of a focus group. In what ways does a focus group resemble a survey?
1 Why is a moderator desirable? What else is required to make a successful focus group? 
1.  

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edition-doane

Chapter 02 Data Collection Answer Key

 

True / False Questions

 

1. Categorical data have values that are described by words rather than numbers. 
 
TRUE

Categories are nominal data but could also be ranked (e.g., sophomore, junior, senior).

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-02 Explain the difference between numerical and categorical data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
2. Numerical data can be either discrete or continuous. 
 
TRUE

Numerical data can be counts (e.g., cars owned) or continuous scales (e.g., height).

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-02 Explain the difference between numerical and categorical data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
3. Categorical data are also referred to as nominal or qualitative data. 
 
TRUE

Categories are nominal data (nonnumerical), sometimes called qualitative data.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-02 Explain the difference between numerical and categorical data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
4. The number of checks processed at a bank in a day is an example of categorical data. 
 
FALSE

Integers are actually numerical data.

 
Accessibility: Keyboard Navigation
Blooms: Apply

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Difficulty: 1 Easy
Learning Objective: 02-02 Explain the difference between numerical and categorical data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
5. The number of planes per day that land at an airport is an example of discrete data. 
 
TRUE

Integers are discrete numerical data.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 1 Easy
Learning Objective: 02-02 Explain the difference between numerical and categorical data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
6. The weight of a bag of dog food is an example of discrete data. 
 
FALSE

Weight is measured on a continuous scale.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 1 Easy
Learning Objective: 02-02 Explain the difference between numerical and categorical data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
7. In last year's annual report, Thompson Distributors indicated that it had 12 regional
warehouses. This is an example of ordinal level data. 
 
FALSE

"Number of" is a count, which is ratio data because a zero exists (better than ordinal).

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 1 Easy
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
8. Nominal data refer to data that can be ordered in a natural way. 
 
FALSE

Nominal (categorical) data would be called ordinal only if categories can be ranked.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement

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edition-doane
 
9. This year, Oxnard University produced two football All-Americans. This is an example of
continuous data. 
 
FALSE

The "number of" anything is discrete.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 1 Easy
Learning Objective: 02-02 Explain the difference between numerical and categorical data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
10. The type of statistical test that we can perform is independent of the level of measurement
of the variable of interest. 
 
FALSE

Some statistical operations are restricted unless you have ratio or interval data.

 
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 1 Easy
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
11. Your weight recorded at your annual physical would not be ratio data, because you cannot
have zero weight. 
 
FALSE

Zero is only a reference point, not necessarily an observable data value.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
12. The level of measurement for categorical data is nominal. 
 
TRUE

Categorical and nominal are equivalent terms.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 

2-28
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13. Temperature measured in degrees Fahrenheit is an example of interval data. 

 
TRUE

For temperature, scale distances are meaningful (20 to 25 is the same as 50 to 55

degrees), and 0 degrees Fahrenheit does not mean the absence of heat, so it is not a ratio
measurement.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
14. The closing price of a stock is an example of ratio data. 
 
TRUE

True zero exists as a reference, whether or not it is observed.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
15. The Statistical Abstract of the United States is a huge annual compendium of data for the
United States, and it is available online free of charge. 
 
TRUE

A useful reference for business (e.g., for marketing, economics, or finance).

 
AACSB: Technology
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-08 Find everyday print or electronic data sources.
Topic: Data Sources
 
16. Ordinal data can be treated as if it were nominal data but not vice versa. 
 
TRUE

You can always go back to a lower level of measurement (but not vice versa).

 
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 1 Easy
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 

2-29
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17. Responses on a seven-point Likert scale are usually treated as ratio data. 
 
FALSE

No true zero point exists on a Likert scale.

 
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 1 Easy
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
18. Likert scales are especially important in opinion polls and marketing surveys. 
 
TRUE

Likert scales are used in all kinds of surveys.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-05 Recognize a Likert scale and know how to use it.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
19. Ordinal data are data that can be ranked based on some natural characteristic of the items. 
 
TRUE

For example, the eras Jurassic, Paleozoic, and Mesozoic can be ranked in time.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
20. Ratio data are distinguished from interval data by the presence of a zero reference point. 
 
TRUE

The true zero is a reference that need not be observable.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 2 Medium
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 

2-30
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21. It is better to attempt a census of a large population instead of relying on a sample. 

 
FALSE

A census may founder on cost and time, while samples can be quick and accurate.

 
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 02-06 Use the correct terminology for samples and populations.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Concepts
 
22. Judgment sampling and convenience sampling are nonrandom sampling techniques. 
 
TRUE

To be random, every item must have the same chance of being chosen.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
23. A problem with judgment sampling is that the sample may not reflect the population. 
 
TRUE

While better than mere convenience, judgment may still have flaws.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
24. When the population is large, a sample estimate is usually preferable to a census. 
 
TRUE

A census may founder on cost and time, while samples can be quick and accurate.

 
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 1 Easy
Learning Objective: 02-06 Use the correct terminology for samples and populations.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Concepts
 

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25. Sampling error is avoidable by choosing the sample scientifically. 

 
FALSE

Sampling error is unavoidable, though it can be reduced by careful sampling.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
26. A sampling frame is used to identify the target population in a statistical study. 
 
TRUE

Only some portion of the population may be targeted (e.g., independent voters).

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 2 Medium
Learning Objective: 02-06 Use the correct terminology for samples and populations.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Concepts
 
27. By taking a systematic sample, in which we select every 50th shopper arriving at a specific
store, we are approximating a random sample of shoppers. 
 
TRUE

There is no bias if this method is implemented correctly.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
28. A worker collecting data from every other shopper who leaves a store is taking a simple
random sample of customer opinion. 
 
FALSE

Not unless the target population is customers who shopped today (cf., all customers).

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 

2-32
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29. Creating a list of people by taking the third name listed on every 10 th page of the phone
book is an example of convenience sampling. 
 
FALSE

This resembles two-stage cluster sampling combined with systematic sampling.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
30. Internet surveys posted on popular websites have no bias since anyone can reply. 
 
FALSE

Self-selection bias exists (respondents may be atypical).

 
AACSB: Technology
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Topic: Surveys
 
31. Analysis of month-by-month changes in stock market prices during the most recent
recession would require the use of time series data. 
 
TRUE

Data collected and recorded over time would be a time series.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-03 Explain the difference between time series and cross-sectional data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
32. A cluster sample is a type of stratified sample that is based on geographical location. 
 
TRUE

For example, sampling voters randomly within random zip codes.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 

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33. An advantage of a systematic sample is that no list of enumerated data items is required. 
 
TRUE

Systematic sampling works with a list (like random sampling) but also without one.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
34. Telephone surveys often have a low response rate and fail to reach the desired population. 
 
TRUE

Phone surveys are cheaper, but it is hard to avoid these problems.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Surveys
 
35. Mail surveys are attractive because of their high response rates. 
 
FALSE

Mail surveys have low response rates and invite self-selection bias.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Surveys
 
36. A problem with convenience sampling is that the target population is not well defined. 
 
TRUE

Convenience sampling is quick but not random, and the target population is unclear.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 

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37. If you randomly sample 50 students about their favorite places to eat, the data collected
would be referred to as cross-sectional data. 
 
TRUE

Data for individuals would be a cross section (not a time series).

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-03 Explain the difference between time series and cross-sectional data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
38. The number of FedEx shipping centers in each of 50 cities would be ordinal level data. 
 
FALSE

The "number of" anything is ratio data because a true zero reference point exists.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
39. Internet surveys posted on popular websites such as MSN.com suffer from nonresponse
bias. 
 
TRUE

Nonresponse or self-selection bias is rampant in such surveys.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Surveys
 
40. Different variables are usually shown as columns of a multivariate data set. 
 
TRUE

It is customary to use a column for each variable, while each row is an observation.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-01 Use basic terminology for describing data and samples.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 

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41. Each row in a multivariate data matrix is an observation (e.g., an individual response). 
 
TRUE

It is customary to use a column for each variable, while each row is an observation.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-01 Use basic terminology for describing data and samples.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
42. A bivariate data set has only two observations on a variable. 
 
FALSE

Bivariate refers to the number of variables, not the number of observations.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-01 Use basic terminology for describing data and samples.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
43. Running times for 3,000 runners in a 5k race would be a multivariate data set. 
 
FALSE

Regardless of the number of observations, we have only one variable (running time).

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-01 Use basic terminology for describing data and samples.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
44. Running times for 500 runners in a 5k race would be a univariate data set. 
 
TRUE

Regardless of the number of observations, we have only one variable (running time).

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-01 Use basic terminology for describing data and samples.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 

2-36
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45. A list of the salaries, ages, and years of experience for 50 CEOs is a multivariate data set. 
 
TRUE

We would have a data matrix with 50 rows and 3 columns.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-01 Use basic terminology for describing data and samples.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
46. The daily closing price of Apple stock over the past month would be a time series. 
 
TRUE

Data collected over time is a time series.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-03 Explain the difference between time series and cross-sectional data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
47. The number of words on 50 randomly chosen textbook pages would be cross-sectional
data. 
 
TRUE

Data were not collected over time, so we have cross-sectional data.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-03 Explain the difference between time series and cross-sectional data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
48. A Likert scale with an even number of scale points between "Strongly Agree" and "Strongly
Disagree" is intended to prevent "neutral" choices. 
 
TRUE

An even number of scale points (e.g., 4) forces the respondent to "lean" toward one end of
the scale or the other.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-05 Recognize a Likert scale and know how to use it.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 

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edition-doane

49. Private statistical databases (e.g., CRSP) are usually free. 

 
FALSE

Private research databases generally require a subscription (often expensive).

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-08 Find everyday print or electronic data sources.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Data Sources
 
 

Multiple Choice Questions

 

50. An investment firm rates bonds for AardCo Inc. as "B+," while bonds of Deva Corp. are
rated "AA." Which level of measurement would be appropriate for such data? 
 

A Nomi
.  nal
B Ordi
.  nal
C Inter
.  val
D R
.  ati
o

Ranks are clear, but interval would require assumed equal scale distances (doubtful).

 
Accessibility: Keyboard Navigation
Blooms: Evaluate
Difficulty: 2 Medium
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 

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edition-doane

51. Which variable is least likely to be regarded as ratio data? 

 

A Length of time required for a randomly chosen vehicle to cross a toll bridge
.  (minutes)
B Weight of a randomly chosen student
.  (pounds)
C Number of fatalities in a randomly chosen traffic disaster
.  (persons)
D Student's evaluation of a professor's teaching (Likert
.  scale)

Likert scales have no true zero.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
52. Which of the following is numerical data? 
 

A Your
.  gender
B The brand of cell phone you
.  own
C Whether you have an American Express
.  card
D The fuel economy (MPG) of your
.  car

Fuel economy is numerical.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 1 Easy
Learning Objective: 02-02 Explain the difference between numerical and categorical data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 

2-39
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edition-doane

53. Measurements from a sample are called: 

 

A statisti
.  cs.
B inferenc
.  es.
C paramete
.  rs.
D variabl
.  es.

A measurement calculated from a sample is a statistic.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-06 Use the correct terminology for samples and populations.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
54. Quantitative variables use which two levels of measurement? 
 

A Ordinal and
.  ratio
B Interval and
.  ordinal
C Nominal and
.  ordinal
D Interval and
.  ratio

Numerical (quantitative) data can be interval or ratio.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 2 Medium
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 

2-40
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edition-doane

55. Temperature in degrees Fahrenheit is an example of a(n) __________ variable. 

 

A nomi
.  nal
B ordi
.  nal
C inter
.  val
D r
.  at
io

No true zero exists in temperature measurements except on the Kelvin scale.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 1 Easy
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
56. Using a sample to make generalizations about an aspect of a population is called: 
 

A data
.  mining.
B descriptive
.  statistics.
C random
.  sampling.
D statistical
.  inference.

Generalizing from a sample to a population is an inference.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-06 Use the correct terminology for samples and populations.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Concepts
 

2-41
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edition-doane

57. Your telephone area code is an example of a(n) ____________ variable. 

 

A nomi
.  nal
B ordi
.  nal
C inter
.  val
D r
.  at
io

Area codes are not even ranked, so just nominal.

 
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
58. Which is least likely to be regarded as a ratio variable? 
 

A A critic's rating of a restaurant on a 1 to 4

.  scale
B Automobile exhaust emission of nitrogen dioxide (milligrams per
.  mile)
C Number of customer complaints per day at a cable TV company
.  office
D Cost of an eBay
.  purchase

Ratings on a Likert scale have no meaningful zero.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 

2-42
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59. Automobile exhaust emission of CO2 (milligrams per mile) is ____________ data. 
 

A nomi
.  nal
B ordi
.  nal
C inter
.  val
D r
.  at
io

True zero exists.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
60. Your rating of the food served at a local restaurant using a three-point scale of 0 = gross, 1
= decent, 2 = yummy is ___________ data. 
 

A nomi
.  nal
B ordi
.  nal
C inter
.  val
D r
.  at
io

Only rankings implied (not equal scale distances).

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 

2-43
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61. The number of passengers "bumped" on a particular airline flight is ____________ data. 
 

A nomi
.  nal
B ordi
.  nal
C inter
.  val
D r
.  at
io

True zero exists (no passengers might be bumped).

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 1 Easy
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
62. Which should not be regarded as a continuous random variable? 
 

A Tonnage carried by a randomly chosen oil tanker at

.  sea
B Wind velocity at 7 o'clock this
.  morning
C Number of personal fouls by the Miami Heat in a
.  game
D Length of time to play a Wimbledon tennis
.  match

Counting things yields integer (discrete) data.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-02 Explain the difference between numerical and categorical data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 

2-44
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edition-doane

63. Which of the following is not true? 

 

A Categorical data have values that are described by words rather than
.  numbers.
B Categorical data are also referred to as nominal or qualitative
.  data.
C The number of checks processed at a bank in a day is categorical
.  data.
D Numerical data can be either discrete or
.  continuous.

The "number of" anything is a discrete numerical variable.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-02 Explain the difference between numerical and categorical data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
64. Which of the following is true? 
 

A The type of charge card used by a customer (Visa, MasterCard, AmEx) is ordinal
.  data.
B The duration (minutes) of a flight from Boston to Minneapolis is ratio
.  data.
C The number of Nobel Prize-winning faculty at Oxnard University is continuous
.  data.
D The number of regional warehouses owned by Jankord Industries is ordinal
.  data.

True zero exists (not observable, but as a reference point), so ratios have meaning.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-04 Recognize levels of measurement in data and ways of coding data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 

2-45
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edition-doane

65. Which statement is correct? 

 

A Judgment sampling is preferred to systematic

.  sampling.
B Sampling without replacement introduces bias in our estimates of
.  parameters.
C Cluster sampling is useful when strata characteristics are
.  unknown.
D Focus groups usually work best without a
.  moderator.

Review the characteristics of each sampling method.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
66. A Likert scale: 
 

A yields interval data if scale distances are

.  equal.
B must have an odd number of scale
.  points.
C must have a verbal label on each scale
.  point.
D is rarely used in marketing
.  surveys.

Marketers use Likert scales and try to make scales with meaningful intervals.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 2 Medium
Learning Objective: 02-05 Recognize a Likert scale and know how to use it.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 

2-46
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edition-doane

67. Which is most nearly correct regarding sampling error? 

 

A It can be eliminated by increasing the sample

.  size.
B It cannot be eliminated by any statistical sampling
.  method.
C It can be eliminated by using Excel's =RANDBETWEEN()
.  function.
D It can be eliminated by utilizing systematic random
.  sampling.

Sampling involves error, though it can be minimized by proper methodology.

 
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 02-06 Use the correct terminology for samples and populations.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Concepts
 
68. Which statement is false? 
 

A Random dialing phone surveys have low response and are poorly
.  targeted.
B Selection bias means that many respondents dislike the
.  interviewer.
C Simple random sampling requires a list of the
.  population.
D Web surveys are economical but suffer from nonresponse
.  bias.

Selection bias occurs when respondents are atypical.

 
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Surveys
 

2-47
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edition-doane

69. Judgment sampling is sometimes preferred over random sampling, for example, when: 
 

A the desired sample size is much larger than the

.  population.
B the sampling budget is large and the population is conveniently
.  located.
C time is short and the sampling budget is
.  limited.
D the population is readily accessible and sampling is
.  nondestructive.

Judgment sampling can save time and may be better than mere convenience.

 
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
70. An advantage of convenience samples is that: 
 

A the required sample size is easier to

.  calculate.
B sampling error can be
.  reduced.
C computation of statistics is
.  easier.
D they are often quicker and
.  cheaper.

Convenience samples are quick, with a possible trade-off of accuracy.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 

2-48
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edition-doane

71. Before deciding whether to assess heavy fines against noisy airlines, which sampling
method would the Federal Aviation Administration probably use to measure the peak noise
from departing jets as measured by a ground-level observer at a point one mile from the
end of the departure runway? 
 

A Radio survey of
.  pilots.
B Simple random
.  sample.
C Judgment
.  sample.
D Stratified
.  sample.

From the cockpit, pilots can't assess external noise levels, so a radio survey of pilots is not
useful. Measurements must be taken from the ground. No list is available for the
unpredictable mix of departing flights, so we can't use a simple random sample. A judgment
sample would not provide an objective basis for assessing fines. A reasonable option would
be for ground observers to record the aircraft size, type, and carrier (airline) for each
departing flight for a week and use this information to construct a stratified sample.

 
Accessibility: Keyboard Navigation
Blooms: Evaluate
Difficulty: 3 Hard
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
72. Professor Hardtack chose a sample of 7 students from his statistics class of 35 students by
picking every student who was wearing red that day. Which kind of sample is this? 
 

A Simple random
.  sample
B Judgment
.  sample
C Systematic
.  sample
D Convenience
.  sample

Quick but may not be representative of all students.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 

2-49
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edition-doane

73. Thirty work orders are selected from a filing cabinet containing 500 work order folders by
choosing every 15th folder. Which sampling method is this? 
 

A Simple random
.  sample
B Systematic
.  sample
C Stratified
.  sample
D Cluster
.  sample

Classic systematic sample from an accessible but unlisted population.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
74. Which of the following is not a likely reason for sampling? 
 

A The destructive nature of certain

.  tests
B The physical impossibility of checking all the items in the
.  population
C Prohibitive cost of studying the entire
.  population
D The expense of obtaining random
.  numbers

Random numbers are cheap (e.g., Excel).

 
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 02-06 Use the correct terminology for samples and populations.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Concepts
 

2-50
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edition-doane

75. Comparing a census of a large population to a sample drawn from it, we expect that the: 
 

A sample is usually a more practical method of obtaining the desired

.  information.
B accuracy of the observations in the census is surely higher than in the
.  sample.
C sample must be a large fraction of the population to be
.  accurate.

Census is often impractical, while samples can be extremely accurate.

 
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 02-06 Use the correct terminology for samples and populations.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Concepts
 
76. A stratified sample is sometimes recommended when: 
 

A the sample size is very

.  large.
B the population is small compared to the
.  sample.
C distinguishable strata can be identified in the
.  populations.
D the population is spread out
.  geographically.

Identifiable strata such as gender, ethnicity, or region can be used.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 

2-51
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edition-doane

77. A random sample is one in which the: 

 

A probability that an item is selected for the sample is the same for all population
.  items.
B population items are selected haphazardly by experienced
.  workers.
C items to be selected from the population are specified based on expert
.  judgment.
D probability of selecting a population item depends on the item's data
.  value.

Each item must have the same chance of being picked if the sample is random.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
78. An advantage of convenience samples over random samples is that: 
 

A they are easy to

.  analyze.
B it is easier to determine the sample size
.  needed.
C it is easier to calculate the sampling errors
.  involved.
D data collection cost is
.  reduced.

Convenience samples are often used because they are quick (but maybe not accurate).

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 

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edition-doane

79. To measure satisfaction with its cell phone service, AT&T takes a stratified sample of its
customers by age, gender, and location. Which is an advantage of this type of sampling, as
opposed to other sampling methods? 
 

A It is less intrusive on customers'

.  privacy.
B It does not require random
.  numbers.
C It gives faster
.  results.
D It can give more accurate
.  results.

Stratified sampling can yield more complete and accurate information.

 
AACSB: Diversity
Accessibility: Keyboard Navigation
Blooms: Analyze
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Topic: Sampling Methods
 
80. An accounting professor wishing to know how many MBA students would take a summer
elective in international accounting did a survey of the class she was teaching. Which kind
of sample is this? 
 

A Simple random
.  sample
B Cluster
.  sample
C Systematic
.  sample
D Convenience
.  sample

She may bias the estimate because only accounting students were surveyed.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 

2-53
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edition-doane

81. A binary variable (also called a dichotomous variable or dummy variable) has: 
 

A only two possible

.  values.
B continuous scale
.  values.
C rounded data
.  values.
D ordinal or interval
.  values.

Binary variables are used in every field of business to code qualitative (nominal) data.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-02 Explain the difference between numerical and categorical data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
82. A population has groups that have a small amount of variation within them, but large
variation among or between the groups themselves. The proper sampling technique is: 
 

A simple
.  random.
B stratifi
.  ed.
C clust
.  er.
D judgme
.  nt.

Identifiable strata call for stratified sampling if you can afford the extra time and cost.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 3 Hard
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 

2-54
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edition-doane

83. A manager chose two people from his team of eight to give an oral presentation because
she felt they were representative of the whole team's views. What sampling technique did
she use in choosing these two people? 
 

A Convenie
.  nce
B Simple
.  random
C Judgm
.  ent
D Clus
.  ter

Expert judgment may be better than just pointing a finger (we hope).

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
84. Sampling bias can best be reduced by: 
 

A using appropriate data

.  coding.
B having a computer tabulate the
.  results.
C utilizing random
.  sampling.
D taking a judgment
.  sample.

Sampling error can't be eliminated, but sampling bias can be avoided.

 
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 

2-55
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edition-doane

85. A sampling technique used when groups are defined by their geographical location is: 
 

A cluster
.  sampling.
B convenience
.  sampling.
C judgment
.  sampling.
D random
.  sampling.

Strata based on location can be targeted through cluster sampling.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
86. If we choose 500 random numbers using Excel's function =RANDBETWEEN(1,99), we
would most likely find that: 
 

A numbers near the mean (50) would tend to occur more

.  frequently.
B numbers near 1 and 99 would tend to occur less
.  frequently.
C some numbers would occur more than
.  once.
D the numbers would have a clear
.  pattern.

On average, we'd expect each number to occur around five times.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 

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edition-doane

87. A problem with nonrandom sampling is that: 

 

A larger samples need to be taken to reduce the sampling error inherent in this
.  approach.
B not every item in the population has the same chance of being selected, as it
.  should.
C it is usually more expensive than random
.  sampling.
D it generally provides lower response rates than random
.  sampling.

Only random sampling gives every item the same chance to be picked.

 
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
88. From its 32 regions, the FAA selects 6 regions, and then randomly audits 25 departing
commercial flights in each region for compliance with legal fuel and weight requirements.
This is an example of: 
 

A simple random
.  sampling.
B stratified random
.  sampling.
C cluster
.  sampling.
D judgment
.  sampling.

Two-stage cluster sampling is being used (a special form of stratification).

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 

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edition-doane

89. Which of the following is a correct statement? 

 

A Choosing the third person listed on every fifth page of the phone book is stratified
.  sampling.
B An advantage of a systematic sample is that no list of enumerated data items is
.  required.
C Convenience sampling is used to study shoppers in convenience
.  stores.
D Judgment sampling is an example of true random
.  sampling.

Review the sampling methods and their characteristics.

 
Accessibility: Keyboard Navigation
Blooms: Analyze
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
90. Which of the following is false? 
 

A Sampling error is the difference between the true parameter and the sample
.  estimate.
B Sampling error is a result of unavoidable random variation in a
.  sample.
C A sampling frame is chosen from the target population in a statistical
.  study.
D The target population must first be defined by a full list or data file of all
.  individuals.

Review the terminology of sampling.

 
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 02-06 Use the correct terminology for samples and populations.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Concepts
 

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edition-doane

91. When we are choosing a random sample and we do not place chosen units back into the
population, we are: 
 

A sampling with
.  replacement.
B sampling without
.  replacement.
C using a systematic
.  sample.
D using a voluntary
.  sample.

Sampling without replacement avoids redundancy, yet nonreplacement is biased.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
92. Which method is likely to be used by a journalism student who is casually surveying
opinions of students about the university's cafeteria food for an article that she is writing? 
 

A Simple random
.  sample
B Systematic random
.  sample
C Cluster
.  sample
D Convenience
.  sample

Quick and easy may trump true random sampling for a busy journalist.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 

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edition-doane

93. Which of the following is false? 

 

A Mail surveys are cheap but have low response

.  rates.
B Coverage error is when respondents give untruthful
.  answers.
C Focus groups are nonrandom but can probe issues more
.  deeply.
D Surveys posted on popular websites suffer from selection
.  bias.

Coverage error is when you miss some segment of the target population.

 
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Surveys
 
94. Which is a time series variable? 
 

A VISA balances of 30 students on December 31 of this

.  year
B Net earnings reported by Xena Corp. for the last 10
.  quarters
C Dollar exchange rates yesterday against 10 other world
.  currencies
D Titles of the top 10 movies in total revenue last
.  week

If x1, x2,…, xn do not refer to n time periods, it isn't a time series.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-03 Explain the difference between time series and cross-sectional data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 

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edition-doane

95. An observation in a data set would refer to: 

 

A only a variable whose value is recorded by visual

.  inspection.
B a data item whose value is numerical (as opposed to
.  categorical).
C a single row that contains one or more observed
.  variables.
D the values of all the variables in the entire data
.  set.

We usually put observations in rows on a spreadsheet, while each column is a variable.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-01 Use basic terminology for describing data and samples.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
96. A multivariate data set contains: 
 

A more than two

.  observations.
B more than two categorical
.  variables.
C more than two
.  variables.
D more than two levels of
.  measurement.

When you have more than two variables, it is multivariate data.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-01 Use basic terminology for describing data and samples.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 

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edition-doane

97. The Centers for Disease Control and Prevention (CDC) wants to estimate the average extra
hospital stay that occurs when heart surgery patients experience postoperative atrial
fibrillation. They divide the United States into nine regions. In each region, hospitals are
selected at random within each hospital size group (small, medium, large). In each hospital,
heart surgery patients are sampled according to known percentages by age group (under
50, 50 to 64, 65 and over) and gender (male, female). This procedure combines which
sampling methods? 
 

A Systematic, simple random, and

.  convenience
B Convenience, systematic, and
.  judgment
C Cluster, stratified, and simple
.  random
D Judgment, systematic, and simple
.  random

Identifiable strata were sampled, but also random within strata and regional clusters.

 
Accessibility: Keyboard Navigation
Blooms: Evaluate
Difficulty: 3 Hard
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 
98. Which statement is correct? 
 

A Selecting every fifth shopper arriving at a store will approximate a random sample of
.  shoppers.
B Selecting only shoppers who drive SUVs is a stratified sampling
.  method.
C A census is preferable to a sample for most business
.  problems.
D Stratified samples are usually cheaper than other
.  methods.

Done carefully, systematic sampling is close to random when there is no list.

 
Accessibility: Keyboard Navigation
Blooms: Evaluate
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Methods
 

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edition-doane

99. Which is a categorical variable? 

 

A The brand of jeans you usually

.  wear
B The price you paid for your last pair of
.  jeans
C The distance to the store where you purchased your last pair of
.  jeans
D The number of pairs of jeans that you
.  own

Categories have only names (e.g., Calvin Klein).

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-02 Explain the difference between numerical and categorical data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 
100. Which is a discrete variable? 
 

A The time it takes to put on a pair of

.  jeans
B The price you paid for your last pair of
.  jeans
C The distance to the store where you purchased your last pair of
.  jeans
D The number of pairs of jeans that you
.  own

The "number of" anything is discrete numerical data.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-02 Explain the difference between numerical and categorical data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Variables and Data
 

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edition-doane

10 A section of the population we have targeted for analysis is: 

1.  

A a
.  statistic
.
B a
.  frame
.
C a
.  sample
.
D a
.  coven
.

We must define the segment we want to look at (e.g., independent voters).

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-06 Use the correct terminology for samples and populations.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Sampling Concepts
 
102. Which is not a time series variable? 
 

A Closing checkbook balances of 30 students on December 31 of this

.  year
B Net earnings reported by Xena Corp. for the last 10
.  quarters
C Dollar/euro exchange rates at 12 noon GMT for the last 30
.  days
D Movie attendance at a certain theater for each Saturday last
.  year

If x1, x2,…, xn do not refer to n time periods, it isn't a time series.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-03 Explain the difference between time series and cross-sectional data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 

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edition-doane

103. A good Likert scale may not have: 

 

A unequal distances between scale

.  points.
B an odd number of scale
.  points.
C a verbal label on each scale
.  point.
D verbal anchors at its end
.  points.

Surveys try to create scales with meaningful intervals.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 2 Medium
Learning Objective: 02-02 Explain the difference between numerical and categorical data.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
104. A Likert scale with an odd number of scale points between "Strongly Agree" and "Strongly
Disagree": 
 

A cannot have equal scale

.  distances.
B cannot have a neutral middle
.  point.
C must have a verbal label on each scale
.  point.
D is often used in marketing
.  surveys.

Likert scales should have arguably equal intervals. A middle neutral response is possible
with an odd number of scale points (e.g., 5 or 7).

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-05 Recognize a Likert scale and know how to use it.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 

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edition-doane

105. A Likert scale with an even number of scale points between "Strongly Agree" and "Strongly
Disagree": 
 

A cannot have equal scale

.  distances.
B is intended to prevent "neutral"
.  choices.
C must have a verbal label on each scale
.  point.
D is rarely used in
.  surveys.

Likert scales should have arguably equal intervals. An even number of scale points (e.g., 4)
forces the respondent to "lean" toward one end of the scale or the other.

 
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 02-05 Recognize a Likert scale and know how to use it.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Level of Measurement
 
106. Which statement is correct? 
 

A Analysts rarely consult business periodicals (e.g., Bloomberg

.  Businessweek).
B Web searches (e.g., Google) often yield unverifiable
.  data.
C Government data sources (e.g., www.bls.gov) are often
.  costly.
D Private statistical databases (e.g., CRSP) are usually
.  free.

Periodicals are often up-to-date and readily available data sources. Web data may be
unreliable, and searches may be directed toward obtaining payment for data. Private
research databases generally require a subscription, while government data sources
generally are free.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-08 Find everyday print or electronic data sources.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Data Sources
 

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edition-doane

107. Which statement is correct? 

 

A Analysts avoid business periodicals (e.g., Bloomberg

.  Businessweek).
B Web searches (e.g., Google) yield reliable and easily verified
.  data.
C Government data sources (e.g., www.bls.gov) usually are
.  free.
D Private statistical databases (e.g., CRSP) usually are
.  free.

Periodicals are often up-to-date and readily available data sources. Web data may be
unreliable, and searches may be directed toward obtaining payment for data. Private
research databases generally require a subscription, while government data sources
generally are free.

 
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 02-08 Find everyday print or electronic data sources.
Learning Objective: 02-09 Describe basic elements of survey types, survey designs, and response scales.
Topic: Data Sources
 
 

Short Answer Questions

 

108. Which survey method would you recommend to survey opinions of airline passengers about
the cleanliness of the restrooms in the Detroit airport? Why not the others? 
 

Restroom users are usually in a hurry and do not wish to talk to anyone while entering or
leaving the facility, so direct observation or handout surveys would not work. A
questionnaire could be e-mailed or mailed to a sample of frequent flyers. No telephone
surveys, because people would distrust the call. A web survey would have nonresponse
bias.

Feedback: This is a difficult sampling problem. Restroom users are usually in a hurry and do
not wish to talk to anyone while entering or leaving the facility. Thus, direct observation or
handout surveys would not work. Perhaps a questionnaire could be e-mailed or mailed to a
sample of frequent flyers who departed or arrived at this airport in a recent month, if a major
airline were willing to cooperate. This assumes that frequent flyers are a reasonable target
population. You would probably not use a telephone survey, because people would distrust
the call. A web survey would have nonresponse bias (i.e., respondents would probably be
those with a gripe). Students may digress into sampling methods (random, systematic,
cluster, stratified) instead of survey types. Ingenious students may propose other novel
methods of sampling opinions.

 
AACSB: Reflective Thinking
Blooms: Evaluate
Difficulty: 3 Hard

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edition-doane
Topic: Surveys
 
109. What kind of sampling method would you suggest in order to tabulate the number of
formulas on a typical page of the Doane-Seward textbook? Defend your choice. 
 

Pages are numbered, so a simple random sample would be easy, or a systematic sample
(e.g., every 20th page starting at page 17). Case could be made for cluster or stratified
samples (e.g., by chapter or topic).

Feedback: Since the pages are numbered, a simple random sample would be quite easy.
Have Excel print n random integers between 001 and 773 (or whatever the length of the
book is). You would want to exclude the table of contents, appendixes, indexes, and so on).
Another good choice would be a systematic sample (e.g., every 20th page starting at page
17) or a variation such as every page divisible by 20. These methods would be unbiased.
Possible cases could be made for cluster or stratified samples (e.g., by chapter or topical
area), but these might offer little gain.

 
AACSB: Reflective Thinking
Blooms: Evaluate
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Topic: Sampling Methods
 
110. How would you design a study to see whether drivers using hands-free cell phones are
distracted enough to slow their reactions to emergency situations? How would you collect
data? 
 

No observation of drivers (too dangerous). Tests using a simulator would permit data to be
collected automatically and would permit stratified sampling by driver characteristics (e.g.,
age group, gender, cell phone type).

Feedback: Don't use direct observation of drivers (too dangerous). Tests using a simulator
would permit data to be collected automatically on reaction times to emergencies. This
would permit stratified sampling by driver characteristics (e.g., age group, gender, cell
phone type). Many answers are possible. The emphasis should be on how carefully the
student has thought about the question. Beware of simplistic answers or impossible data
collection schemes.

 
AACSB: Reflective Thinking
Blooms: Evaluate
Difficulty: 3 Hard
Topic: Surveys
 

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edition-doane

111. Explain the concept of a focus group. In what ways does a focus group resemble a survey?
Why is a moderator desirable? What else is required to make a successful focus group? 
 

Data collected in a focus group are richer in qualitative details and may contain information
that would be missed in a survey. A trained moderator can help keep the group on track and
manage interpersonal issues that may arise.

Feedback: Data collected in a focus group are richer in qualitative details, and may contain
information that would be missed in a survey. Yet a focus group is like a survey in that it
seeks to extract useful information and patterns from individuals. Participants are not
chosen completely at random, but rather are selected to represent different backgrounds
and diverse viewpoints of interest to the researchers. A well-trained moderator can help
keep the group on track and manage interpersonal issues that may arise.

 
AACSB: Reflective Thinking
Blooms: Evaluate
Difficulty: 2 Medium
Learning Objective: 02-07 Explain the common sampling methods and how to implement them.
Topic: Sampling Methods
 

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