CHAPTER 3

Describing Data: Numerical

Multiple-Choice Questions
1 . A s c a t t e r p l o t c a n i l l u s t r a t e a l l o f t h e f o l l o w i n g e xc e p t : A)
The median of each of the variables.B) The range of each of the variables.C)
An indication of outliers.D) Patterns of values.
A N S W E R :
A
2. For the following scatter plot, wha t would be your
b e s t e s t i m a t e o f t h e c o r r e l a t i o n coefficient?A ) - 0 . 8 B )
- 1 . 0 C) -0.3
D)
0.0
A N S W E R :
A
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Chapter 3
3. For the following scatter plot, wha t would be your
b e s t e s t i m a t e o f t h e c o r r e l a t i o n coefficient?A ) 1 . 0 B ) 0 . 8 C )
0.3
D)
0.0
A N S W E R :
B
4 . C a l c u l a t e t h e c o r re l a t i o n f o r t h e f o l l o w i n g (
X
,
Y
) data: (53, 37), (34, 26), (10, 29), (63, 55),(28, 36), (58, 48), (28, 41), (50,
42), (39, 21), and (35, 46).
A)
0.710B ) 1 0 0 . 6
C)

0.670
D)
0.590
A N S W E R :
D
5. Suppose that we are interested in exploring the determinants of
successful high schools.One possible measure of success might be
the percentage of students who go on tocollege. The teachers union
argues that there should be a relationship between the a v e r a g e
teachers salary and high school success. The following
e q u a t i o n o f t h e regression line is obtained: %
of students
going on to college
= 13 + 0.
001AverageTeachers Salary
Which of the following statements is true?
A)
I n c re a s e % o f s t u d e n t s g o i n g o n t o c o l l e g e b y 0 . 0 0 1 p e rc e n t ,
w e w o u l d e x p e c t average teachers salary to increase by one dollar.
B)
Increase % of students going on to college by one percent, we would expect
averageteachers salary to increase by 0.001 dollar.
C)
Increase teachers average salary by 0.001 dollar, we would expect
% of studentsgoing on to college to increase by one percent.
D)
Increase average teachers salary by one dollar, we would expect %
of studentsgoing on to college to increase by 0.001 percent.
A N S W E R :
D
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Describing Data: Numerical

6. Suppose that we are interested in exploring the determinants of
successful high schools.One possible measure of success might be
the percentage of students who go on tocollege. The teachers union
argues that there should be a relationship between theaverage
teachers salary and high school success. After running a regression
of thepercentage of students going on to college and average teachers
salary, it is pointed outthat one school has a large negative residual. Which
of the following is true?A) This school has very low values for both
variables.B) This school has very high values for both variables.C) This school
performed much worse than expected.D) This school performed much better
than expected.
A N S W E R :
C
7. Which of the following statements is true about correlation
coeffi cient and covariance?
A)
The covariance is the preferred measure of the relationship between
two variablessince it is generally larger than the correlation coefficient.
B)
The correlation coeffi cient is a preferred measure of the relationship
between twovariables since its calculation is easier than the covariance.C)
The covariance is a standardized measure of the relationship between
variables.
D)
The correlation coefficient is the preferred measure of the relation between
variablessince it is a standardized measure.
A N S W E R :
C
8. Suppose we were to run a linear regression using the data in the
following scatter plot.What are the most reasonable values for the
y
-intercept
0
b
and the slope
1
b
?
A)
0
b
= 0 and
1
b
=1
B)
0

b
= 25 and
1
b
= 2.5
C)
0
b
= -25 and
1
b
= -2.5
D)
0
b
= 0 and
1
b
= -1
A N S W E R :
B
9. Which of the following statements is true?
A)
The correlation coefficient is always greater than the covariance.
B)
The covariance is always greater than the correlation coefficient.
C)
The covariance may be equal to the correlation coefficient.
D)
Neither the covariance nor the correlation coefficient can be equal to zero.
A N S W E R :
C
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