Chapter 1

Question 1

DATA + PROCESSING =

Answer 1

INFORMATION

Question 2

ACCURATE

Answer 2

Accurate
Complete
Cost effective
Understandable
Relevant
Accessible
Timely 
Easy to use

Question 3

Internal data

Answer 3

From within the organisation itself

Question 4

External data

Answer 4

From outside the organisation

Question 5

Primary data

Answer 5

Data which is used solely for the purpose it was collected

Question 6

Secondary data

Answer 6

Data that is taken from some other source

Question 7

Random sampling

Answer 7

A proportion of the population is picked at random. Cheap but may not be representative

Question 8

Systematic sampling

Answer 8

A proportion of data is collected based on fixed interval values. Eg every 10 values.

Question 9

Stratified sampling

Answer 9

Population may be split down into different sections before being sampled (eg gender) Samples are then taken from each section based on how much of the population lies within that section.

Question 10

Multistage sampling

Answer 10

Population may be split down into different sections being sampled (e.g towns) samples are then taken from each section on a random basis.

Question 11

Cluster sampling

Answer 11

This is similar to multistage sampling only samples are selected in clusters rather than randomly

Question 12

Quota sampling

Answer 12

Quota sampling has a number of different data sets the must be collected as an objective. This could include a certain number of males in a certain age rage and females in a different age range.

This type of sampling tends to be very biased.

Question 13

3V’s of big data

Answer 13

Volume - size
Variety - type
Velocity - speed

Question 14

Big data can assist performance by

Answer 14

Gain insights which can then be used to improve marketing and sales

Forecasting better so that more appropriate decisions can be made

Automating of high-level business processes for efficiency

Providing more details and up to date performance measurement

Question 15

Planning

Answer 15

Establishing objectives

Question 16

Decision-making

Answer 16

Making a choice between multiple alternatives deciding which is the best alternative to achieve the previously set objective

Question 17

Control

Answer 17

Comparison of actual results with expected results. Allows for corrective action to be taken.

Question 18

Cost centre

Answer 18

A cost centre is a production or service location, function, activity or item of equipment for which cost can be ascertained.

E.g a department, a project, a machine

Question 19

Revenue centre

Answer 19

Revenue centre is accountable for revenues only.

E.g Retail outlet, sales department

Question 21

Investment centre

Answer 21

And investment centre is a profit centre + investment responsibilities

E.g A subsidiary

Question 22

Profit centre

Answer 22

A profit centre is part of the business for which both costs and revenues are identified