MGMT2100: STATISTICAL METHODS
PRACTICE FINAL EXAM
Part I: Problem Recognition
This part contains five multiple-choice questions. Each correct response will earn 2
marks. Incorrect responses will be worth zero marks, without additional deduction.
There is
E3: Applications of Accounting Concepts Related to Accrual Accounting
The accountant for Ronaldo Company makes the assumptions or performs the activities in the
list that follows. Tell which of these concepts of accrual accounting most direclty relates to
E6: The following ledger accounts are for the Tuner Service Corporation:
a. Cash
b. Wages Expense
c. Accounts Receivable
d. Common Stock
e. Service Revenue
f. Prepaid Rent
g. Accounts Payable
h. Investments in Securities
i. Income Taxes Payable
j. Income
P4: Transaction Analysis, Journal Form, T Accounts, and Trial Balance
Melvin Patel bid for and won a concession to rent bicycles in the local park during the summer. During
the month of June, Patel completed the following transactions for his bicycle rent
P3: Determining Adjusting Entries, Posting to T Accounts, and Preparing an
Adjusted Trial Balance
The schedule below presents the trial balance for Prima Consultants Corporation on
December 31, 2010. The following information is also available:
a. Ending
P7: Transaction Analysis, Journal Form, T Accounts, and Trial Balance
Brad Cupello began an upholstery cleaning business on October 1 and engaged in the following
transactions during the month:
Oct.1
Began business by depositing $15,000 in a bank account
P4: Determining Adjusting Entries and Tracing Their Effects to Financial Statements
Joyce Ozaki opened a small tax-preparation service. At the end of its second year of operation, Ozaki Tax Service, Inc.,
had the trial balance shown at the top of the next
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SUMMARY OUTPUT
Regression Statistics
Multiple R
0.897277115
R Square
0.80510622
Adjusted R
Square
0.79473953
Standard Error
2.323461806
Observations
100
ANOVA
df
Regression
Residual
Total
Intercept
Mother
Father
Gmothers
Gfathers
Smoker
5
94
99
SS
2096.30
11.7: Two-
tail test.
!"#!"
Test statistic:
= !"/ !" = 1
p-
value: 2*P(Z -
1) = 2*0.1586 = 0.3172
(we multiply the probability by 2 because this is a two-
tail test)
p-
value = 0.3172 > 0.01 =
Therefore
How to describe the data
Twokeyaspectsyouwillfindinyour statisticalanalyses. Centraltendency Dispersion(spread,variation) Whatwearetalkingabouthereare distributions.
How to describe the data
Youveoftenseen visualdescriptionsof distributions.
Illhavetoge
Actual vs. Relative Frequency
9 8 7 Frequency 6 5 4 3 2 1 0 25-30 31-34 35-39 40-44 Age of participants
Actual vs. Relative Frequency
45% 40% Relative Frequency 35% 30% 25% 20% 15% 10% 5% 0% 25-30 31-34 35-39 40-44 Age of participants
Usingarelativefreque
The binomial distribution gives the values for P(Xk), where k is the desired number of successes (we
used the lower case x instead of k in class.)
Need to find
P(Xk)
P(X<k)
P(Xk)
P(X>k)
P(k1Xk2)
How to find it
Look up k directly in the table
Look up k-1 i
PART III NUMERICAL PROBLEMS
Question 1
(20 marks)
The table bellow shows P/E ratios (current stock price divided by the last 12 months earnings)
for a random sample of 25 Standard & Poors 500 stocks. Although P/E ratios are continuous
data, The Wall Stree
NAME: _
MGMT2100: STATISTICAL METHODS
MIDTERM EXAM
NUMBER OF PAGES:
LENGTH OF EXAMINATION:
EXAMINATION AIDS ALLOWED:
14 pages (NOT including cover)
80 minutes
Calculator; Formula and Tables Booklet
INSTRUCTIONS:
1. Your examination paper must be handed in
Arithmetic Mean
The arithmetic mean, or the average, of a set of numbers is
calculated by summing up all values and dividing this sum by the
number of observations.
For example, the mean of the following set of ten SAT scores: 1410;
1371; 1369; 1441; 138
Mode
Strictly speaking, the mode is the most common value in the dataset.
For example, in the set 1,2,2,3,4,5 the mode is the value 2, which
appears twice in this dataset
In the SAT scores example: 1410; 1371; 1369; 1441; 1381; 1363;
1328; 1342; 1463; 1
Probability theory
the branch of mathematics that focuses on the likelihood of random
events to occur.
people often estimate the chances of
getting a job,
winning a bid
obtaining funding for a project
prior to deciding how much effort to invest in
ap
Sample Spaces
The collection of all elementary events that can possibly come out of a
specific experiment is called the sample space
denoted using curly brackets: cfw_sample space.
the sample space for rolling the die is cfw_1, 2, 3, 4, 5, 6,
and the
PART I MULTIPLE CHOICE QUESTIONS (30 MARKS, 1 marks each)
Choose the best answer for each question and indicate your answer on the bubble sheet.
There is no penalty for guessing
1)
Which of the following statements about the arithmetic mean is not always
PART I MULTIPLE CHOICE QUESTIONS (30 MARKS, 1 marks each)
Choose the best answer for each question and indicate your answer on the bubble sheet.
There is no penalty for guessing
1.
In general, incomes of employees in large firms tend to be
a. positively s
The primary purpose for external financial statements is to provide
a. the current replacement cost of a business enterprise at today's market prices
b. information that is useful to present and potential investors, creditors, and others in
making rationa