Module 2 Statistics as a Managerial Tool

Question 1

Each of the four quartile groups a population can be divided

Answer 1

Quartiles

Question 2

Measures the difference between the third and first quartile

Answer 2

IQR: Inter-quartile range
Note: Must be ordered in lowest to highest value

Question 3

Used to study the composition of a data set and examine the distribution

Answer 3

Box Plot

Question 4

There are six toll booths to enter the highway. What probability does each toll booth worker have of getting the next customer?

Answer 4

1 customer and 6 booths = 1/6 or 16.7%

Question 5

The order you pick you sample in does not matter

Answer 5

Combination. Picking employees for a shift. Order doesn’t matter.

Question 6

When given P(A) given P(B), you can use this to find the P(B) given P(A)

Answer 6

Bayes Theorem. You must know P(A), P(B), P(A) given B

Question 7

Apply this rule when looking for two events occurring (AND)

Answer 7

Multiplication

Question 8

Use this rule when looking for one or the other event happening (OR)

Answer 8

Addition

Question 9

Represents the probability that a variable falls with a certain range

Answer 9

Cumulative distribution

Question 10

A list of all the different probabilities of each outcome that can occur

Answer 10

Probability Distribution

Question 11

Z-score for 99% level of confidence

Answer 11

2.576

Question 12

Z-score for 95% level of confidence

Answer 12

1.960

Question 13

Measures of central tendency are approximately equal (Mean and Median)

Answer 13

Normal Distribution