business analytics final exam excel ch 12

The ________ provides a more conservative estimate of the independent variables' ability to predict the value of the dependent variable.

R-squared value

The ________ function in Excel is one method that can help with creating a random sample.

RAND

________ is a method used to predict future values by analyzing the relationships between two or more variables.

Regression analysis

If a product is tested 100 times and the rate at which it fails is recorded on a scale of 1 to 10, then the average of all the product's failure rates on the scale could be useful. This is an example of ________ data.

ordinal

The discrete probability function that has wide business applications is the ________ distribution.

poisson

______ is the likelihood that some event will occur based on what is already known.

probability

A(n) ________ describes all the possible values and likelihoods that a given variable can be within a specific range, and they can be in the form of a graph, table, or formula.

probability distribution

Small businesses tend to experience more volatility than large organizations and can therefore benefit greatly from using ________ to estimate future outcomes and events.

probability distributions

The method used to predict future values by analyzing the relationships between two or more variables is the ________

regression analysis

Correlation coefficient values are easy to interpret, but it is often more powerful to create a ________ chart that illustrates that relationship visually.

scatter

Mathematically, ______ is calculated by taking the square root of the variance.

standard deviation

the practice of collecting, analyzing, and interpreting data

statistics

Managers at the Turquoise Oasis Spa are interested in knowing whether there is a relationship between the age of their clients and the amount of money they spend in the spa. Upon analyzing the data, they found a correlation coefficient of .672. Thus, the relationship between the two variables is ________.

strong

descriptive statistics

the process of deriving meaningful information from raw data.

inferential statistics

the process of taking data from a sample of the population and making predictions about the entire population.

A histogram is a statistical graph that summarizes the distribution of data and how the data fits into defined bins.

true

A range is the simplest method to calculate the dispersion of a data set and can provide a rough idea of how the data set is dispersed.

true

Although Excel can automatically generate evenly distributed bin values based on the minimum and maximum values of the input range, it is often better to define your own bins.

true

Covariance is a formula that can calculate the relationship between two variables, like gender and dollars spent as well as the direction of the relationship.

true

Every time any cell is edited or a new formula is created, the value generated by the RAND function will change.

true

In a data set consisting of gender, salary, and name of employees, the employees are the observational unit and the variables are the gender, salary, and names.

true

In administering a survey where respondents answer "Yes" or "No" to a specific question, ordinal data could be used to categorize the responses, such as 1 = Yes and 2 = No.

true

Interval data measures the size of the difference between values

true

Moving averages can be useful in spotting trends over a period of time by smoothing out any fluctuations that may occur during each consecutive interval.

true

Regression analysis is a method used to predict future values by analyzing the relationships between two or more variables.

true

The Analysis ToolPak allows you to conduct a variety of statistical analyses with ease

true

To calculate the mean in Excel, the AVERAGE function is used

true

Finding the central tendency may lead to incorrect assumptions about the data due to possible ________.

variance

________ is a calculation used in statistics to determine how far the data set varies from the mean.

variance

________ characterizes the peakedness or flatness of a distribution compared to the normal distribution.

Kurtosis

Array functions are often referred to as "CDE" functions because of the keys pressed to create the function.

false

Calculating the range, variance, and kurtosis of a data set are all methods used to determine the dispersion of a data set.

false

Descriptive statistics is the process of taking data from a sample of the population and making predictions about the entire population.

false

If you leave the Bin Range box blank, Excel will not be able to generate bin values automatically.

false

Inferential statistics is the process of deriving meaningful information from raw data.

false

Nominal data are useful in situations where it is difficult to obtain accurate measurements.

false

Ratio data is similar to ordinal data except that the differences between the data can be quantified and proportions can be specified.

false

The R-squared value is calculated by squaring the correlation coefficient, labeled as Squared R in the output.

false

The correlation coefficient is represented by the letter "c" in statistics and is a unitless value that describes the strength and direction of a relationship between two variables.

false

The_______distribution is a discrete population distribution that calculates the probability of drawing a specific number of target items from a collection without replacement.

hypergeometric

The ________ is the value at which a regression line will cross the y-axis and is used in the slope intercept formula to predict values.

intercept coefficient

data that measures the size of the difference between values

interval

________ are only useful with discrete data that is sorted in either ascending or descending order.

modes

A ________ calculates the average of values over time based on specified intervals.

moving average

_______ variables are often used to categorize responses in a survey.

nominal

In a data set consisting of gender, salary, and name of employees, the employees are the _____ and the variables are the gender, salary, and names

observational unit

The spa manager uses data such as number of soaps in a box and the number of different services the spa offers its customers. These are examples of ________.

discrete variables

Calculating the range and variance of a data set are all methods used to determine the ________ of a data set.

dispersion

Calculating the range, variance, and standard deviation of a data set are all methods used to determine the_______of a data set.

dispersion

Calculating the correlation coefficient using the ________ function is useful to determine the type and strength of a relationship between two variables.

CORREL

Since the FREQUENCY function is an array function, once it is typed into a cell you must press ________ in order for it to calculate properly

Ctrl + Shift + Enter

Which of the following statements regarding variance is FALSE?

Variance is most useful because its value is in the same unit as the median and therefore easier to interpret

The ________ distribution is a continuous probability function that models the times between events.

exponential

A summary function is a function that can perform multiple calculations on one or more items in an array.

false

modes

are only useful with discrete data that is sorted in either ascending or descending order.

ordinal data

are useful in situations where it is difficult to obtain accurate measurements.

The FREQUENCY function in Excel is a(n) ______ function that creates a frequency distribution that calculates how often values occur within a bin.

array

The ________ distribution is a discrete probability distribution that is used to model the number of successful trials based on the total number of trials and the rate of success.

binomial

When working with large data sets, it can be useful to group the data into_____

bins

Each of these calculations, mean, median, and mode, attempt to define the______of a data set.

central tendency

The spa manager uses data such as time between sales transactions, the weight of a package for shipping, and the amount of money a customer spends in any given visit. These are examples of ________.

continuous variables

The ________ can calculate the relationship between two variables, like age and dollars spent as well as the direction of the relationship

covariance

If the cumulative argument of the NORM.DIST function is set to TRUE, the result will be the probability of a value being less than or equal to the value of the x argument, known as the ______ distribution function.

cumulative

Array functions look different from other functions because ________ are required for the function to calculate correctly.

curly brackets { }

moving average

data can be used to create charts that show whether the value is trending upward or downward.

The spa calculates the total revenue that a spa package generates over the course of a year. This is an example of

descriptive statistics

Adding the minimum value and the maximum value together provides the range in a data set.

false