Marketing Research Exam 2

What conclusion(s) can you make from the following cross tabulation? a. Having more children increases the divorce rate. b. Getting divorced makes a couple have more children. c. The more children a person has the more likely s/he is to be divorced. d. All of the above can be correctly concluded from the cross-tabulation. e. None of the above can be concluded from the cross-tabulation.

E. None of the above can be concluded from the cross-tabulation.

(T/F) In the chi-square analysis, the greater the differences between the observed frequencies and the expected frequencies, the less likely it is that there will be a statistically significant relationship.

F

(T/F) if the F-value in ANOVA produces a significantly high p-value (a.k.a. "Sig." in SPSS) of 0.11 or more, then it is appropriate to proceed with a post-hoc test (e.g., Duncan)

F

(T/F) the manager of New England Patriots conducted a large survey. He wanted to know if there was an association between fans being "season ticket holders" vs. "non-season ticket holders" and whether they "bought" vs. "didn't buy" team merchandise at the game. Since his survey included these measurements, he used SPSS to run a Pearson correlation coefficient that turned out to be 0.88 with a Sig. value of .001. This meant there is a significant relationship.

F

(T/F) If you have a significant and very strong (e.g., > 0.90 correlation coefficient), you may assume there is a causal relationship between the two variables.

F

A factorial design is an ANOVA analysis that includes two or more dependent variables.

F

A simple regression is a statistical technique used to derive an equation that relates a single continuous dependent variable to two or more independent variables.

F

Carters, a marketer of children appeal, knows that as girls increase in age, their dress size tends to get larger. This is an example of a causal type of relationship?

F

The magnitude of the Pearson correlation coefficient indicates the direction of association, while its sign indicates the strength of the association.

F

The simple regression technique in SPSS, not the researcher, specifies which variable should be the independent variable and which one should be the dependent variable.

F

A statistical technique used with a continuous dependent variable and one or more categorical independent variables is called a(n) ____________________.

ANOVA analysis of variance

Assume that a researcher determines that a p-value of 0.01 or below determines significance. Listed below are several correlation coefficients and their respective significance levels. Which correlation coefficient demonstrates an association not likely due to chance (i.e., significant)? a. 0.22, 0.06 b. 0.75, 0.00 c. −0.32, 0.15 d. −0.76, 0.95 e. 0.26, 0.10

b. 0.75, 0.00

Assuming that the standard error of estimate for the difference in means is 1.5, calculate the value of the test statistic that would be used in the comparison of the two means. a. 0.75 b. 1.33 c. 1.88 d. 1.96 e. None of the above.

b. 1.33

Suppose that the relationship between sales (Y, in $000) and number of salespeople (X) is represented by the following regression equation: Y = 105.2 + 35.8X What will be the average contribution to sales of one additional salesperson? a. $35.80 b. $141,000 c. $35,800 d. $141.00 e. More information is needed to answer this question.

c. $35,800

In absolute numbers, how many millions of households own a microwave? a. 15 million b. 100 million c. 42 million d. 55 million e. 27 million

c. 42 million

27. Which statistical technique should you use to answer the question: "Is there a significant relationship between education level (a four-category ordinal variable) and whether or not consumers are aware that Firestone is a brand of tires?" a. Multiple regression analysis b. Pearson correlation coefficient c. Chi-square test d. Simple regression analysis e. None of the above.

c. Chi-square test

A popular approach to measuring the strength of the relationship between two categorical variables is: a. cross tabulation. b. Pearson chi-square test of independence. c. Cramer's V. d. regression analysis. e. Kendall's coefficient of concordance.

c. Cramer's V.

Which of the following is a technique that measures the association between a criterion variable and one or more independent variables? a. Correlation analysis b. Analysis of variance c. Regression analysis d. z-test e. F-test

c. Regression analysis

Which of the following statements about regression/correlation analysis is FALSE? a. Correlation analysis involves the measurement of the closeness of the relationship between two or more variables. b. Regression analysis involves the derivation of an equation that relates the criterion variable to one or more predictor variables. c. Regression analysis can establish the causal relationship between two or more variables. d. The regression line minimizes the sum of the squared deviations about the line. e. It is much more common to conduct regression analyses using a computer.

c. Regression analysis can establish the causal relationship between two or more variables.

Which of the following concerning the Pearson chi-square test is FALSE? a. The Pearson chi-square test is conceptually similar to the chi-square goodness-of-fit test. b. The Pearson chi-square test tests the null hypothesis that the variables are independent. c. The Pearson chi-square test measures the degree of association between variables. d. The Pearson chi-square test assesses the degree to which the two variables in a cross tabulation analysis are independent of one another. e. All of the above statements concerning the Pearson chi-square test are true.

c. The Pearson chi-square test measures the degree of association between variables.

In which of the following situations would it be useful to test for differences between two groups? a. A retailer wishes to know if customer satisfaction is different between in-store vs. online shoppers. b. A beverage company wants to know if a new beverage concept differs between users vs. nonusers of the current brand. c. A department store wishes to know the differences between online catalogs vs. mail order catalog shoppers. d. A state university ants to know is there is a significant difference in GPA between undergraduate and graduate students. e. All of the above situations would benefit from tests for differences between two groups.

e. All of the above situations would benefit from tests for differences between two groups.

Which of the following is a technique that measures the closeness of the relationship between two or more variables by considering their joint variation?

Correlation analysis

statistic used to measure the strength of relationship between categorical variables is called a(n) ____________________.

Cramer's V

A statistic used to measure the strength of relationship between categorical variables is called a Cramer's V.

T

A toy storeowner hypothesizes, at the 95% level of confidence, that parents spend less than $100 on toys per visit to her store. A sample is taken and the hypothesis test shows a z value of −1.65. We accept the hypothesis:

T

All other variables held constant, a 95% confidence interval will give us a narrower range than will a 99% confidence interval.

T

Cross tabulation work equally will with continuous measures that have been recast as categorical measures.

T

In a regression analysis, determining the statistical significance of the slope involves the use of the t-statistic.

T

Percentages are always calculated in the direction of the causal variable.

T

The coefficient of determination represents the relative proportion of the total variation in the outcome variable that can be accounted for by the predictor variable in the regression.

T

The error term in the regression model represents all factors that determine criterion variable that are not part of the model.

T

The multiple R, also called the coefficient of determination, in multiple regression ranges from 0.00 to +1.00 and represents the amount of the dependent variable "explained" by the combined independent variables.

T

Compare and contrast the use of analysis of variance (ANOVA) versus conducting a series of t-tests to examine differences across groups.

The ANOVA technique (a) would be more efficient, requiring fewer computations, (b) would decrease the likelihood of rejecting a true null hypothesis, and (c) would consider the joint effects of different independent variables.

Cramer's V is scaled to range between: a. 0.0 and 1.0. b. −1.0 and 0.0. c. −1.0 and 1.0. d. 0.0 to ∞. e. −∞ to ∞.

a. 0.0 and 1.0

A gas station wants to compare a group of consumers' overall perceptions of service with overall perceptions of service for a nearby competitor. This situation calls for the use of: a. paired sample t-test for means. b. analysis of variance. c. regression analysis. d. independent samples t-test for means. e. correlation analysis.

a. paired sample t-test for means.

Suppose you were given an example of running a chi-square test using SPSS. The output shows a "Pearson Chi-Square" value of 82.123, df = 3 and the Asymp. Sig. = 0.000. This means: a. there is a significant association. b. there is no significant association. c. the difference is associative. d. the means are not equal. e. the variances are equal.

a. there is a significant association.

The NFL office discovered data covering attendance at professional football games in the late 1940s and early 1950s. The game with the highest attendance was between the St. Louis Cardinals and the New York Giants. The office also found considerable information that someone had collected on each game day such as the level of GDP, the DOW, numbers of persons employed, number of new businesses formed during the week preceding the game, and the population. A student intern took the information and built a regression model to predict game attendance for the upcoming season. The model should: a. accurately predict game attendance. b. NOT predict game attendance accurately because the variable levels of today (i.e., population, Dow, etc.) are out of range of those used to build the regression model. c. predict game attendance accurately because the variable levels of today (i.e., population, Dow, etc.) are out of range of those used to build the regression model. d. predict game attendance accurately because the variable levels (i.e., population, Dow, etc.) are within range of those used to build the regression model. e. None of the above.

b. NOT predict game attendance accurately because the variable levels of today (i.e., population, Dow, etc.) are out of range of those used to build the regression model.

In order to use the pooled sample variance when testing the difference in two population means, what must be assumed? a. The sample means are unbiased estimates of the population means. b. The population variances are equal. c. The population means are equal. d. The population variances are inversely proportional. e. The sample means are unequal.

b. The population variances are equal.

Family Size and Ownership of a Microwave by Household (Figures in millions of households) Refer to Exhibit 13.1. The above table is an example of a. one-way classification. b. cross tabulation. c. one-way tabulation. d. four-way classification. e. three-way cross tabulation.

b. cross tabulation.

Let's assume we find in a study that the Pearson's correlation coefficient between number of years of education and cigarette smoking is −0.73. This means that as education level increases: a. smoking tends to increase. b. smoking tends to decrease. c. smoking changes 73%. d. education and smoking are unrelated. e. an educated person smokes 73 cigarettes a day.

b. smoking tends to decrease

Given a cross tabulation between years of education and income, we would compute percentages in the direction of years of education because: a. the probability that given X income you will have Y years of education makes sense. b. the probability that given X years of education you will have Y income makes sense. c. it doesn't matter which way you do it. d. Both a and b. e. None of the above.

b. the probability that given X years of education you will have Y income makes sense.

The value of the product-moment coefficient of correlation ranges from: a. −1.0 to 0.0. b. −1.0 to 1.0. c. −0.5 to 0.5. d. 0.0 to 1.0. e. −∞ to ∞.

b. −1.0 to 1.0.

Given that the critical value that the test statistic is to be compared with is equal to 1.645 at a 90% significance level, which of the following statements are true? a. The researcher should reject the null hypothesis at the 90% significance level. b. The researcher might be able to reject the null hypothesis at the 95% level of significance. c. The researcher cannot reject the null hypothesis at this significance level. d. The researcher has provided evidence that people in urban areas use bank debit cards more than people in rural areas. e. More information is needed before a decision about the null hypothesis can be made.

c. The researcher cannot reject the null hypothesis at this significance level.

Suppose the ordinary least-squares approach to a regression analysis produced the following: Y = 20 - 39X R2 = .90 Which of the following statements is FALSE? a. For every unit change in X there is a corresponding negative change in the average value of Y of 39 units. b. 90 percent of the variation in Y is associated with variation in X. c. The slope of the line is 20. d. The average value of Y given x = 10 is −370. e. If X = 0, then Y = 20

c. The slope of the line is 20. d.

Analysis of variance (ANOVA) is most applicable when there: a. are only two means being compared. b. is exactly one categorical variable to be considered. c. are more than two means being compared. d. is the potential for a causal relationship between a continuous independent variable and a categorical dependent variable. e. is a need to examine interjudge reliability.

c. are more than two means being compared.

An analyst has a set of normally distributed intervally scaled data resulting from two observations on the same sample of subjects, and he wishes to investigate if there is any difference in these two means. The appropriate statistical procedure is: a. z-test for difference in two means. b. analysis of variance. c. paired samples t-test. d. chi-square goodness-of-fit test. e. regression analysis.

c. paired samples t-test.

If an organization selects two towns for a market study (one for the test and the other as a control) and measures the amount of trash in pounds per household, it must first determine the equality of the two towns using a: a. test of a single proportion. b. test of a single mean. c. test of two means. d. test of two proportions. e. None of the above.

c. test of two means.

In testing a multiple regression equation for statistical significance, the first step involves: a. testing the intercept term using a t-test. b. using a t-test to examine the significance of the overall equation. c. using an F-test to examine the significance of the overall equation. d. testing each of the slope coefficients using a t-test. e. testing each of the slope coefficients using an F-test.

c. using an F-test to examine the significance of the overall equation.

If the correlation between two variables x and y is equal to −0.90, which of the following is TRUE? a. x and y are highly related, whereby a positive change in x is accompanied by a positive change in y. b. The two variables x and y are not related to one another. c. x and y are highly related, whereby a negative change in x is accompanied by a positive change in y. d. The coefficient of determination is equal to −0.81. e. An increase in x is accompanied by a decrease in y.

c. x and y are highly related, whereby a negative change in x is accompanied by a positive change in y.

What will average sales be equal to when 10 salespeople are used? a. $358,000 b. $463.20 c. $358.00 d. $463,200 e. More information is needed to answer this question.

d. $463,200

The upper limit of the Pearson chi-square test of independence is limited by a. sample size. b. the distribution of cases across the cells. c. degrees of freedom. d. Both a and b. e. a, b, and c.

d. Both a and b. -sample size. -the distribution of cases across the cells.

Which of the following emphasizes the division of the sample into subgroups so as to learn how the dependent variable varies from subgroup to subgroup? a. Longitudinal analysis b. Coding c. Cross-sectional analysis d. Cross tabulation e. One-way tabulation

d. Cross tabulation

Which statistical technique should you use when you are attempting to answer the question: "Is there a significant relationship between the customers' disposable income (measured in dollars) and their repeat-buying behavior (measured by the number of rebuys in a twelve-month period)?" a. Multiple regression analysis b. Chi-Square test c. Simple regression analysis d. Pearson correlation coefficient e. None of the above.

d. Pearson correlation coefficient

The most appropriate way to calculate percentages in the above table to reflect cause and effect is by dividing a. each of the entries by 100. b. 45 and 55 by 100. c. 42 and 58 by 100. d. entries in the first row by 45 and those in the second row by 55. e. entries in the first column by 42 and those in the second column by 58.

d. entries in the first row by 45 and those in the second row by 55.

A gum manufacturer wants to determine whether blue packaging or red packaging is preferred. The company performs a sales test by introducing red packages into a random sample of ten stores and blue packages are introduced in an independent, random sample of ten stores. The technique most appropriate for analyzing the data is: a. paired sample t-test for means. b. Spearman rank-order correlation analysis. c. regression analysis. d. independent samples t-test for means. e. correlation analysis.

d. independent samples t-test for means.

A research study involving the research question: "On the basis of a survey of husband-wife households, is there a significant difference between the mean attitude score of husbands and that of wives toward our product?" will involve a: a. test for a single proportion. b. test of two means when samples are independent. c. test for a single mean. d. test of two means when samples are dependent. e. None of the above.

d. test of two means when samples are dependent.

Consider the regression equation Y = 5 + 16X1 + 38X2 relating annual expenditures on a particular product Y to X1 and X2, where Which of the following is FALSE? The equation suggests a. An upper class person could be expected on the average to spend $38 per year more than a lower class person on the product. b. A middle class person could be expected on the average to spend $16 more per year on the product than a lower class person. c. A lower class person could be expected on the average to spend $5 per year on the product. d. An upper class person could be expected on the average to spend $22 more per year on the product than a middle class person. e. An upper class person could be expected on the average to spend $38 per year on the product.

e. An upper class person could be expected on the average to spend $38 per year on the product.

When performing cross tabulations, percentages are always calculated in the direction of the: a. dependent variable. b. independent variable. c. causal variable. d. Both a and b. e. Both b and c.

e. Both b and c. independent variable. causal variable.

Which of the assumptions listed below are necessary, in order for the coefficients in a partial regression equation to be interpreted as the average change in the criterion variable associated with a unit change in the appropriate predictor variable holding other predictor variables constant? A. The predictor variables must be correlated. b. The variance among predictor variables must be equal. c. The criterion variable must be normally distributed. d. The predictor variables must be uncorrelated. e. None of the above are necessary assumptions.

e. None of the above are necessary assumptions.

What relationship can be inferred from the above table between family size and owing a microwave? a. Nothing can be inferred. b. The smaller the family the more likely they are to own a microwave. c. A lower proportion of large families (4 or more) own microwaves than small families. d. Owning a microwave causes family size to increase. e. Ownership of a microwave tends to increase as family size increases.

e. Ownership of a microwave tends to increase as family size increases.

Which of the following is FALSE about cross tabulations? a. Cross tabulations work equally well with continuous measures that have been recast as categorical measures. b. Cross tabulations are used for studying the relationships between two (or more) categorical variables. c. Recasting continuous measures into categories may result in lowered statistical power. d. Cross tabulation seeks to investigate the influence of the independent variable on the dependent variable. e. Recasting continuous measures into categories almost never results in the loss of information.

e. Recasting continuous measures into categories almost never results in the loss of information.

if a researcher were to take ten Asian countries where per capita income and automobile ownership by per capita were known, trying to find the overall picture of market size for the market could probably be done by using which of the following methods? a. Analogy method b. Latin square c. Trade audit d. Chain ratio method e. Regression analysis

e. Regression analysis

A researcher is interested in comparing the usage of bank debit cards by consumers in rural (r) and urban (u) areas. Each year for the past five years, she has surveyed 500 individuals (one-half urban, one-half rural) randomly selected from across the United States. She is specifically interested in any differences that may exist between the two groups with regard to usage. The results of the current study indicate that people in urban areas use bank debit cards 12 times per month on average (), while those in rural areas use bank cards 10 times per month on average (). Which of the following is the null hypothesis that the researcher should use in comparing the usage rates?

textbook