Business Statistics Final OSA (A)
Business Statistics Final OSA (A)
Type ONLY the letter that represents the correct answer next to the corresponding number in your online answer
booklet. E.g. 26 B
QUESTION 1 (4 Marks)
Consider the following 3 random variables:
i) The total number of noise disturbances in a suburban area.
ii) The temperature of water in a kettle 5 minutes after it is boiled.
iii) The types of fruit being sold at a grocery store.
Identify which variables are discrete and which are continuous and give their level of measurement.
A. (i) discrete, ratio (ii) discrete, ratio (iii) discrete, nominal
B. (i) discrete, ratio (ii) continuous, ratio (iii) discrete, nominal
C. (i) continuous, ratio (ii)continuous, interval (iii) discrete, ordinal
D. (i) discrete, ratio (ii) continuous, interval (iii) discrete, nominal
QUESTION 2 (4 Marks)
A large manufacturing company conducts a survey of 15% of its 80 factory sites at the end of each year to
determine the cost of potential upgrades needed for each site. At the end of 2006 the survey indicated that
the average amount needed for upgrades was R780 000 per site.
Which of the following statements is True?
A. R780 000 is the value of the population parameter.
B. 80 factories were used in the sample.
C. 15% of the factory sites will be upgraded by R780 000.
D. 12 factories were used in the sample.
QUESTION 3 (4 Marks)
Which graph below is best suited for qualitative variables?
A. Pie chart
B. Scatter plot
C. Line graph
D. Bar graph
QUESTION 4 (4 Marks)
A sample of 1000 customers participated in a study relating to shopping habits. It was believed that income
level is an important factor influencing their shopping preferences, so the sample was selected using
stratified sampling. Four-hundred (400) people with a high income and 340 people with a middle income were
included in the sample. The remaining people were grouped as “Low income”. The sample was selected in
such a way that the proportions of people from each income level reflected those of the population.
From this it can be deduced that ... % of the population are from “Low Income” group.
A. 82
B. 26
C. 47
D. 15
QUESTION 5 (4 Marks)
The graph below is a
A. dot plot
B. pareto chart
C. bar chart
D. line chart
QUESTION 6 (4 Marks)
Which of the following statements is False?
A. Stratified sampling and quota sampling are similar in that they divide the sample into groups based on
some important characteristic(s).
B. One of the drawbacks of simple random sampling is that it can be time consuming for large samples.
C. Quota sampling is not a type of probability sampling.
D. In systematic sampling every kth item is selected where k = n/N.
QUESTIONS 7 and 8 are based on the following information:
A certain village is made up of 2512 households. An agriculturalist wants to know the number of chickens reared by each
household. However, he does not have the time to visit all the households. He decides to visit only 20 of the households
that are close to the road that he uses when going to town. He collects the information and captures the data in a table, a
portion of which is shown below.
6 15 17 21 29 35 36 38 38 40
41 42 43 47 47 49 53 56 58 58
QUESTION 7 (4 Marks)
Which one of the following sampling methods did the agriculturalist use?
A. Systematic sampling
B. Stratified sampling
C. Convenience sampling
D. Simple random sampling
QUESTION 8 (4 Marks)
What is the median number of chickens raised by the households?
A. 38.45
B. 40
C. 52.5
D. 40.5
QUESTION 9 (4 Marks)
Your kettle has just broken so you want to buy a new one. You find two models of kettle that you like. You do
some research to help you choose which model to buy. On the internet you find the results of an experiment
in which the time (minutes) to boil 1 litre of water was measured for samples of the two models. Some of the
results are in the table below:
640.5 – 660.5 1
660.5 – 680.5 6
680.5 – 700.5 22
700.5 – 720.5 10
720.5 – 740.5 7
740.5 – 760.5 6
760.5 – 780.5 3
QUESTION 11 (4 Marks)
The heights of a sample of seedlings in a recently sown field were measured. The ogive below was
constructed using the height data collected.
QUESTION 12 (4 Marks)
Approximately what percentage of the seedlings have heights of more than 5 cm?
A. 20%
B. 12%
C. 5%
D. 25%
QUESTION 13 (4 Marks)
You have recently started growing tomatoes in your garden. You are making a tomato relish for a braai, and
you decide to use 10 tomatoes from your garden. Before cutting the tomatoes, you measure the
circumference (cm).
12.3 16.6 17.0 14.3 12.3 15.8 16.7 15.1 13.9 13.8
QUESTION 14 (4 Marks)
A school class ran a 1-mile race. The average time for the girls was 14 minutes with a standard deviation of
2.5 minutes. The average time for the boys was 11 minutes with a standard deviation of 4 minutes. Both sets
of data were found to be bell-shaped. If one of the girls in the class is randomly selected, what is the
probability that she ran the race in a time between 11.5 minutes and 14 minutes?
A. 0.16
B. 0.32
C. 0.68
D. 0.34
QUESTION 15 (4 Marks)
The monthly electricity consumption of households in a certain city is known to be normally distributed with a
mean of 284 kWh and a standard deviation of 34 kWh.
What is the probability that a randomly chosen household will consume less than 270 kWh of electricity in a
month?
A. 0.3409
B. 0.5882
C. 0.4118
D. 0.6591
QUESTION 16 (4 Marks)
It is known that smoking can cause lung cancer. In South Africa, 90% of lung cancer sufferers are smokers. A
random sample of 20 cancer sufferers in South Africa is chosen.
What is the probability that 80% of them are smokers?
A. 0.0432
B. 0.1330
C. 0.0898
D. 0.8670
QUESTION 17 (4 Marks)
A student answers 10 questions in a multiple-choice test. The questions are set up so that they do not
depend on one-another. Each question has 5 possible answers, only one of which is correct.
What is the probability that the student answers at least one correct answer?
A. 0.0005
B. 0.8926
C. 0.2684
D. 0.1074
QUESTION 18 (4 Marks)
At a particular restaurant, an average of 4 plates are broken each week. What is the probability that 2 plates
are broken next week?
A. 1.0827
B. 0.0122
C. 0.1465
D. 0.0366
QUESTION 19 (4 Marks)
For a Poisson distribution with , what is the probability that no events occur ?
A. 0.0183
B. 0.0733
C. 0.1353
D. 0.1839
QUESTION 20 (4 Marks)
What is the probability that a z-score from the standard normal distribution is less than 0.75?
A. 0.2266
B. 0.5730
C. 0.7734
D. 0.5000
QUESTION 21 (4 Marks)
Find the probability that a z-score from the standard normal distribution is greater than -1.25.
A. 0.1056
B. 0.1050
C. 0.8944
D. 0.3948
QUESTION 22 (4 Marks)
Which of the following is False?
A. The median is better than the mean as a measure of central location when a data set is skewed.
B. The standard deviation is more affected by outliers than the quartile deviation.
C. The mode is a suitable measure of central location for qualitative data.
D. For a symmetric distribution the mean is always larger than the mode.
QUESTIONS 23 and 24 are based on the following information:
A study is being done on wolves in North America. The scientists doing the study would like to see if the weight (pounds)
of a wolf can be predicted from its tail length (inches). The table below shows the data measured for 10 wolves.
Tail () 10 19 20 23 25 13 19 20 24 27
Weight () 79 100 85 100 160 72 116 88 80 120
QUESTION 23 (4 Marks)
The least squares regression line is
A.
B.
C.
D.
QUESTION 24 (4 Marks)
Determine the correlation coefficient
A. 0.7
B. 0.8
C. -0.9
D. 0.6
QUESTION 25 (4 Marks)
School administrators wondered how class size affected the average class mark (%) achieved by students.
Using a random sample of classes, the following linear regression line was found:
Using this linear regression line, predict the average class mark of a class with 25 students in it.
A. 84.31
B. 91.06
C. 72.51
D. 111.81
END OF PAPER