Business Statistics: Communicating with Numbers 2nd Edition Solutions Manual Jaggia Kelly

Business Statistics Communicating with Numbers 2nd Edition Jaggia Kelly Solutions Manual Completed download Solutions Manual, Answer key, Excel Examples Files for all chapters are included: Test Bank for Business Statistics: Communicating with Numbers 2nd Edition by Sanjiv Jaggia Download link: https://testbankarecom/download/business-statistics-communicatingnumbers-2nd-edition-solutions-manual-jaggia-kelly/ https://testbankarecom/download/business-statistics-communicatingnumbers-2nd-edition-test-bank-jaggia-kelly/ Chapter 2. Tabular and Graphical Methods Solutions 1. Rating Relative 5 12 12/36 =.333 4 9 9/36 =.25 3 7 7/36 =.194 2 5 5/36 =.139 1 3 3/36 =.83 Total 36 1. b. More than a third of the patrons are very satisfied with the entrees. Overall more than half of the customers gave a top rating of either 4 or 5. Only 8.3% gave the lowest rating. 2. Rating Relative 2-1

Excellent 5 5/24 =.28 Good 12 12/24 =.5 Fair 4 4/24 =.167 Poor 3 3/24 =.125 Total 24 1. b. The most common response is Good which comprises 5% of total responses. More than 7% of the patients reveal that they are in good or excellent health conditions. 3. Expectation Relative Better 5 5/25 =.2 Same 16 16/25 =.64 Worse 4 4/25 =.16 Total 25 1. Most of the chief executives (64%) believed that the economy would be the same in the next 12 months. b. Expectations of U.S. economy Worse 16% Same 64% Better 2% Better Same Worse 2-2

Relative Expectations of U.S economy.7.6.5.4.3.2.1. Better Same Worse Expectation Type 4. Delays Relative PM Delays 1 1/18 =.56 All Day Delays 6 6/18 =.333 AM Delays 4 4/18 =.222 None 7 7/18 =.389 Total 18 1. The most common type of delays was None, comprising 38.9% of all types. The second most common type was All Day Delays, comprising 33.3%. b. PM Delays 6% Air Travel Delays None 39% AM Delays 22% All Day Delays 33% PM Delays All Day Delays AM Delays None 2-3

Relative Air Travel Delays.5.4.3.2.1. PM Delays All Day Delays Delay Type AM Delays None 5. 22 (18 + 4) out of 5 rookies received a rating of 4 or better; 14 (1 + 4) out of 5 rookies received a rating of 2 or worse. 2-4

Relative b. c. Rating Relative 1 4/5 =.8 2 1/5 =.2 3 14/5 =.28 4 18/5 =.36 5 4/5 =.8 Total 1. 8% of the rookies received a rating of 5..4 Ratings of Pro-football Rookies.3.2.1 1 2 3 4 5 Ratings 6. Response Good Jobs.37 5,324 = 1,97 Affordable homes.15 5,324 = 799 Top schools.11 5,324 = 586 Low crimes.23 5,324 = 1225 Things to do.14 5,324 = 745 Total 5,324 1225 respondents considered Low crimes as the most important criterion. b. 2-5

Survey Responses 25 2 15 1 5 Good Jobs Affordable homes Top schools Low crimes Things to do Responses 7. Top Vacation Choice Relative Cruises 14/316 =.443 Beaches 68/316 =.215 Amusement Parks 68/316 =.215 Big Cities 2/316 =.63 Lakes 12/316 =.38 Summer Camp 8/316 =.25 Total 1. 44.3% of the children cited Cruises as the perfect summer trip. b. Top Vacation Choice Survey 16 14 12 1 8 6 4 2 Cruises Beaches Amusement Parks Vacation Choice Big Cities Lakes Summer Camp 2-6

8. Car-Rental Company Relative (Market Share) Enterprise 1.7/21.9 =.489 Hertz 4.7/21.9 =.215 Avis Budget 4/21.9 =.183 Dollar Thrifty 1.5/21.9 =.68 Other 1/21.9 =.46 Total 1. b. Hertz accounted for 21.5% of sales. c. Car-Rental Company Revenues Other 5% Dollar Thrifty 7% Avis Budget 18% Hertz 21% Enterprise 49% Enterprise Hertz Avis Budget Dollar Thrifty Other 9. 2-7

Relative CBS News Survey.5.4.3.2.1 Cure for cancer found End of dependence on oil Signs of life in outer space Peace in Middle East Events Other None will happen Other 6% Peace in Middle East 8% Signs of life in outer space 12% None will happen 7% End of dependence on oil 27% CBS News Survey Cure for cancer found 4% Cure for cancer found End of dependence on oil Signs of life in outer space Peace in Middle East Other None will happen b. (.4 * 829) = 332 respondents believe that a cure for cancer will be found. 1. The number of responses for Others is the difference between the total number of responses and the sum of responses in the table. That is, 2,825 15,241 = 5,584. b. The proportion of respondents that felt that the Green Bay Packers would win Super Bowl XLV is 1,76/2,825 =.52. c. Team Relative Falcons 4,4/2,825 =.194 Saints 1,88/2,825 =.9 Texans 1,791/2,825 =.86 2-8

Relative Cowboys 1,631/2,825 =.78 Vikings 1,438/2,825 =.69 Colts 1,149/2,825 =.55 Steelers 1,141/2,825 =.55 Patriots 1,95/2,825 =.53 Packers 1,76/2,825 =.52 Others 5,584/2,825 =.268 Total 1..3.25.2.15.1.5 Super Bowl XLV Poll Falcons Saints Texans Cowboys Vikings Colts Steelers Patriots Packers Others Team 11. Since 6% favored Obama and 3% favored Romney in terms of likeability, then 1% favored neither Obama nor Romney. b. Of the 5 respondents, 3 (=5.6) favored Obama and 15 (=5.3) favored Romney. So Obama was favored by 15 more respondents. 12. According to this survey, an athlete in football was most likely to sustain an injury with lifelong consequences. An athlete in martial arts was least likely to sustain an injury with lifelong consequences. b. Approximately 79 respondents (=992.8) believed that professional hockey players were most likely to sustain an injury with lifelong consequences. 2-9

13. This graph does not correctly depict what has happened to Caterpillar s stock price over this period. The graph has been given a relatively high value of $5 on the vertical axis. This compresses the data so that the increase of the stock price is not as apparent as it should be. 14. This graph does not correctly depict what has happened to sales over the most recent five-year period. The vertical axis has been stretched so that the increase in sales appears more pronounced than warranted. 15. Class 3 up to 5 5 5 up to 7 5 7 up to 9 8 9 up to 11 4 11 up to 13 5 13 up to 15 3 Total = 3 b. Classes Relative Cumulative Cumulative Relative 3 up to 5 5/3 =.17 5.17 5 up to 7 5/3 =.17 5 + 5 = 1.17 +.17 =.34 7 up to 9 8/3 =.27 5 + 5 + 8 = 18.34 +.27 =.61 9 up to 11 4/3 =.13 5 + 5 + 8 + 4 = 22.61 +.13 =.74 11 up to 13 5/3 =.17 5 + 5 + 8 + 4 + 5 = 27.74 +.17 =.91 13 up to 15 3/3 =.1 5 + 5 + 8 + 4 + 5 + 3 = 3.91 +.1 1. Total = 1. c. 8 observations are at least 7 but less than 9; 18 observations are less than 9. d. 27% of the observations are at least 7 but less than 9; 61% are less than 9. e. 2-1

Relative Relative.3.25.2.15.1.5 Histogram 3 up to 5 5 up to 7 7 up to 9 9 up to 11 11 up to 13 13 up to 15 Class f. 1.8.6.4.2 Ogive 5 1 15 2 Data 16. Classes -1 up to 9 up to 1 31 1 up to 2 19 2 up to 3 8 3 up to 4 3 Total = 7 19 observations are at least 1 but less than 2. b. Classes Relative Cumulative Relative -1 up to 9/7 =.129.129 2-11

Relative up to 1 31/7 =.443.129 +.443 =.572 1 up to 2 19/7 =.271.129 +.443 +.271 =.843 2 up to 3 8/7 =.114.129 +.443 +.271 +.114 =.957 3 up to 4 3/7 =.43.129 +.443 +.271 +.114 +.43 = 1. Total 1. 27.1% of the observations are at least 1 but less than 2; 84.3% are less than 2. c..5 Polygon.4.3.2.1-2 -1 1 2 3 4 5 Data The distribution is not symmetric. It is positively skewed. 17. Class Relative 1 up to 2 12/56 =.214 2 up to 3 15/56 =.268 3 up to 4 25/56 =.446 4 up to 5 4/56 =.71 Total 1. 2-12

Relative.5.4.3.2.1 Histogram 1 up to 2 2 up to 3 3 up to 4 4 up to 5 Class b. Class Cumulative Cumulative Relative 1 up to 2 12 12/56 =.214 2 up to 3 12 + 15 = 27 27/56 =.482 3 up to 4 12 + 15 + 25 = 52 52/56 =.928 4 up to 5 12 + 15 + 25 + 4 = 56 56/56 = 1. c. 44.6% of the observations are at least 3 but less than 4; 92.8% are less than 4. 18. Class Relative 1, up to 1,1 2/16 =.125 1,1 up to 1,2 7/16 =.4375 1,2 up to 1,3 3/16 =.1875 1,3 up to 1,4 4/16 =.25 Total = 1. 43.75% of the observations are at least 1,1 but less than 1,2. b. Class Cumulative Cumulative Relative 1 up to 11 2 2/16 =.125 11 up to 12 2 + 7 = 9 9/16 =.562 2-13

12 up to 13 2 + 7 + 3 = 12 12/16 =.75 13 up to 14 2 + 7 + 3 + 4 = 16 16/16 = 1. 12 of the observations are less than 13. c. Histogram 8 7 6 5 4 3 2 1 1 up to 11 11 up to 12 12 up to 13 13 up to 14 Class 19. Class 15 up to 25 3 25 up to 35 5-3 = 2 35 up to 45 12-5 = 7 45 up to 55 13-12 = 1 7 observations are at least 35 but less than 45. 2-14

b. Histogram 8 7 6 5 4 3 2 1 15 up to 25 25 up to 35 35 up to 45 45 up to 55 Class c. 12/13 =.923, so 92.3% of the observations are less than 45. 2. Class -2 up to -1.4 5 = 2-1 up to.28 5 = 14 up to 1.26 5 = 13 1 up to 2.22 5 = 11 2 up to 3.2 5 = 1 Total = 5 14 observations are at least -1 but less than. b. Class Cumulative -2 up to -1 2-1 up to 2 + 14 = 16 up to 1 16 + 13 = 29 1 up to 2 29 + 11 = 4 2 up to 3 4 + 1 = 5 4 observations are less than 2. c. 2-15

Relative Relative Polygon.3.25.2.15.1.5-3 -2-1 1 2 3 4 Class 21. Class Relative 15 up to 2.1 2 up to 25.35.1 =.25 25 up to 3.7.35 =.35 3 up to 35 1.7 =.3 Total = 1. 35% of the observations are at least 25 but less than 3. b. 1.2 Ogive 1.8.6.4.2 1 2 3 4 Class 22. 2-16

Assets (in billions) 4 up to 7 9 7 up to 1 8 1 up to 13 2 13 up to 16 16 up to 19 1 Total = 2 b. Assets (in billions) Relative Cumulative Cumulative Relative 4 up to 7 9/2 =.45 9 9/2 =.45 7 up to 1 8/2 =.4 9 + 8 = 17 17/2 =.85 1 up to 13 2/2 =.1 17 + 2 = 19 19/2 =.95 13 up to 16 /2 = 19 + = 19 19/2 =.95 16 up to 19 1/2 =.5 19 + 1 = 2 2/2 = 1 c. Two funds had assets of at least 1 but less than 13 (in $ billions); 19 funds had assets less than $16 billion. d. 4% of the funds had assets of at least $7 but less than $1 (in billions); 95% of the funds had assets less than $13 billion. e. 1 Histogram for Asset Value 8 6 4 2 Asset Value ( in $ billions) The distribution is positively skewed. Note: The histogram could have also been made with relative frequencies. It would have had the same positive skewness. 2-17

Relative 23. Texts 5 up to 6 4 6 up to 7 7 7 up to 8 5 8 up to 9 4 9 up to 1 5 Total = 25 b. Texts Relative Cumulative Cumulative Relative 5 up to 6 4/25 =.16 4 4/25 =.16 6 up to 7 7/25 =.28 4 + 7 = 11 11/25 =.44 7 up to 8 5/25 =.2 11 + 5 = 16 16/25 =.64 8 up to 9 4/25 =.16 16 + 4 = 2 2/25 =.8 9 up to 1 5/25 =.2 2 + 5 = 25 25/25 = 1. Total 1. c. 7 teens sent at least 6 but less than 7 texts; 16 sent less than 8 texts. d. 16% of the teens sent at least 5 but less than 6 texts; 44% of them sent less than 7 texts. e..3.25.2.15.1.5 Polygon 2 4 6 8 1 12 Number of texts The distribution is not symmetric; it is slightly positively skewed. 24. 2-18

Relative Temperature 6 up to 7 2 7 up to 8 7 8 up to 9 14 9 up to 1 1 Total = 33 b. Temperature Relative Cumulative Cumulative Relative 6 up to 7 2/33 =.61 2 2/33 =.61 7 up to 8 7/33 =.212 2 + 7 = 9 9/33 =.273 8 up to 9 14/33 =.424 9 + 14 = 23 23/33 =.697 9 up to 1 1/33 =.33 23 + 1 = 33 33/33 = 1. Total = 1. c. 9 cities had temperatures less than 8. d. 42.4% of the cities recorded temperatures of at least 8 but less than 9 ; 69.7% of the cities had temperatures less than 9. e..45 Polygon.4.35.3.25.2.15.1.5 2 4 6 8 1 12 Temperatures (in degrees Fahrenheit) The distribution is slightly negatively skewed. 25. 2-19

Vacancy Rate (%) Relative Cumulative Cumulative Relative up to 3 5/5 =.1 5.1 3 up to 6 1/5 =.2 5 + 1 = 15.1 +.2 =.3 6 up to 9 2/5 =.4 15 + 2 = 35.3 +.4 =.7 9 up to 12 1/5 =.2 35 + 1 = 45.7 +.2 =.9 12 up to 15 5/5 =.1 45 + 5 = 5.9 +.1 = 1. Total = 1. b. 45 cities had a vacancy rate of less than 12%; 4% of the cities had a vacancy rate of at least 6% but less than 9%; 7% of the cities had a vacancy rate of less than 9%. c. 25 2 Histogram for Vacancy Rate 15 1 5 up to 3 3 up to 6 6 up to 9 9 up to 12 12 up to 15 Vacancy Rate ( in percent) The distribution is symmetric. 26. Age Cumulative Cumulative Relative 15 up to 2.1(2) = 2 2.1 2 up to 25.25(2) = 5 2 + 5 = 7.1 +.25 =.35 25 up to 3.28(2) = 56 7 + 56 = 1,26.35 +.28 =.63 3 up to 35.24(2) = 48 1,26 + 48 = 1,74.63 +.24 =.87 35 up to 4.11(2) = 22 1,74 + 22 = 1,96.87 +.11 =.98 2-2

Relative frequency Relative 4 up to 45.2(2) = 4 1,96 + 4 = 2,.98 +.2 = 1. Total = 2 b. 28% of the women were at least 25 but less than 3 years old; 87% were less than 35 years old. c..3 Polygon.25.2.15.1.5 1 2 3 4 5 Age The distribution appears to be relatively symmetric with possibly a slight positive skew. d. 1 Ogive.8.6.4.2 1 2 3 4 5 Age If we draw a horizontal line that corresponds to the.5 value on the vertical axis, it will intersect the ogive at the age of approximately 28 years old. 2-21

27. Age Relative Cumulative Relative 18 up to 22 45 45/1 =.45.45 22 up to 26 7 45 = 25 25/1 =.25.45 +.25 =.7 26 up to 3 85 7 = 15 15/1 =.15.7 +.15 =.85 3 up to 34 96 85 = 11 11/1 =.11.85 +.11 =.96 34 up to 38 1 96 = 4 4/1 =.4.96 +.4 = 1. Total = 1 Total = 1. b. Fifteen guests were at least 26 but less than 3 years old; 25% of the guests were at least 22 but less than 26 years old; 96% of the guests were younger than 34 years old; 4% were 34 years or older. c. 5 4 3 2 1 Histogram Age The histogram shows a positively skewed data set reflecting the relatively young age of the nightclub s guests. 28. No. The distribution is not symmetric. It is positively skewed. b. Forty-four percent of the states had median household income between $45, and $55,. c. Sixty-six percent of the states had median household income between $35, and $55,. 2-22

29. Draw a vertical line through Income of 5. It intercepts with the ogive at the point of about.4. Thus, about 4% of the states had median household income less than $5,. b. Draw a vertical line through Income of 6. It intercepts with the ogive at the point of about.8. Thus, about 8% of the states had median household income less than $6,. It is equivalent that about 2% of the states had median household of more than $6,. 3. No. The distribution is not symmetric. It is positively skewed. b. The minimum monthly stock price is approximately $5 and the maximum stock price is approximately $45. c. The $5 - $15 class has the highest relative frequency, which is about.35. 31. No. The distribution is not symmetric. It is positively skewed. b. Three (.1 3) NBA players earned between $2,, and $24,,. c. About 26 (.43 3+.43 3=25.8) NBA players earned between $12,, and $2,,. 32. Draw a vertical line through Salary of 18. It intercepts with the ogive at the point of about.7. Thus, about 7% of the salaries were less than $18,,. b. Draw a vertical line through Salary of 14. It intercepts the ogive at the point of about.15. Thus, about 15% of the salaries were less than $14,,. It is equivalent that about 85% of the salaries were more than $14,,. 33. SAT Scores 45-5 6 51-55 24 551-6 15 61-65 5 2-23

b. Total = 5 The distribution is positively skewed. Fifteen states had scores between 551 and 6. SAT Scores Relative Cumulative Cumulative Relative 45-5 6/5 =.12 6 6/5 =.12 51-55 24/5 =.48 6 + 24 = 3 3/5 =.6 551-6 15/5 =.3 3 + 15 = 45 45/5 =.9 61-65 5/5 =.1 45 + 5 = 5 5/5 = 1. Total = 1. c. 3 states had scores of 55 or less. d. 3% of the states had scores between 551 and 6; 6% of the states had scores of 55 or less. 34. House Value up to 1, 2 1, up to 2, 26 2, up to 3, 16 3, up to 4, 4 4, up to 5, 1 5, up to 6, 1 Total = 5 3 25 2 15 1 5 Histogram of House Value House Value 2-24

b. No. The distribution is not symmetric. It is positively skewed. c. The class $1, up to $2, has the highest frequency. d. Eight percent (4/5 =.8) of the states have median house values between $3, and $4,. e. Forty-four states (2+16+26=44) have median house values less than $3,. 35. Price/Gallon 3.5 up to 3.7 3 3.7 up to 3.9 27 3.9 up to 4.1 14 4.1 up to 4.3 4 4.3 up to 4.5 1 4.5 up to 4.7 1 Total = 5 3 25 2 15 1 5 Histogram of Average Gas Price Average Gas Price b. No. The distribution is not symmetric. It is positively skewed. c. The class $3.7 up to $3.9 has the highest frequency. d. 2-25

Ogive for Average Gas price 5 4 3 2 1 3 3.5 4 4.5 5 Average Gas Price Draw a vertical line through Price of 3.9. It intercepts the ogive at the point of about 3. Thus, about thirty states had average gas prices of $3.9 or less, which is about 6% of the states. Consequently, about 4% of the states had average gas prices greater than $3.9. 36. DJIA Price Index 12,25 up to 12,5 1 12,5 up to 12,75 11 12,75 up to 13, 26 13, up to 13,25 14 13,25 up to 13,5 1 Total = 62 3 25 2 15 1 5 Histogram for DJIA Price Index DJIA Price Index The DJIA was less than 12,5 on 1 days during this quarter. b. 2-26

Relative Relative Polygon for DJIA Price Index.5.4.3.2.1 12, 12,5 13, 13,5 14, DJIA Price Index c. The distribution is not symmetric. It is positively skewed. 1.8.6.4.2 Ogive for DJIA Price Index DJIA Price Index Draw a vertical line through Index of 13,. It intercepts the ogive at the point of about.8. Thus, approximately 8% of the days the DJIA was less than 13,. 37. Stem Leaf 2. 3 6 8 3. 2 2 3 4 5 6 4. 2 2 2 5 6 7 5. 4 5 5 This distribution is symmetric. There are the same number of observations on each end of the data, and the same number of observations in the middle. 38. 2-27

Stem Leaf -8 7 5 5 3 2-7 9 7 5 3 3 2 1-6 5 5 4-5 2 39. (Keep in mind that these values are negative.) The distribution is not symmetric; it is positively skewed. Most of the numbers are in the lower stems of -8 and -7. Stem Leaf 99 6 7 8 1 4 5 11 2 2 2 3 5 5 6 12 1 2 2 3 4 5 4. The temperatures ranged from a low of 99.6 to a high of 12.5. The distribution is not symmetric; it has negative skew. The majority of patients recorded a temperature higher than 11. Stem Leaf 7 3 4 6 7 8 8 8 1 2 3 4 4 4 4 7 8 9 1 1 2 2 2 3 3 4 4 4 4 4 5 6 6 6 8 8 9 1 6 7 41. Temperatures ranged from a low of 73 to a high of 17. The distribution is not symmetric; it has negative skew. Temperatures in 9s were the most frequent. Stem Leaf 6 5 5 6 7 7 7 1 1 2 2 3 3 3 5 5 8 9 8 1 1 2 2-28

42. The officers concerns are warranted. The data shows that the majority of cars exceed the 65 miles-per-hour limit. Spain Stem Leaf 2 1 1 1 2 3 3 4 4 5 5 5 6 7 8 9 9 9 3 2 Netherlands Stem Leaf 2 2 3 3 4 5 5 5 6 6 6 7 7 7 7 9 3 3 5 5 9 43. Spain has a relatively younger team compared to Netherlands. Spain s ages range from 21 to 32, while Netherlands ages range from 22 to 39. The majority of players in both teams are in their 2s. However, Netherlands has a couple of more players in their 3s than Spain. 25 2 Y 15 1 5 5 1 15 X There is a negative linear relationship between x and y. As x increases, y tends to decrease. 44. 2-29

7 6 5 Y 4 3 2 1 2 4 6 8 1 12 X There is no evident relationship between x and y. 45. 25 2 Y 15 1 5 2 4 6 8 1 X There is a negative relationship between x and y. As x increases, y tends to decrease. 46. 2-3

Newborn Birth Weight Grade 1 8 6 4 2 5 1 15 2 25 3 Hours There is a positive relationship between number of hours spent studying and grades. As the number of hours spent studying increases, grades tend to increase. 47. 5. 4.5 4. 3.5 3. 2.5 2. 1.5 1..5. 5 1 15 2 25 Mother's Weight Gain The results support the finding. As a mother s weight gain increases, the newborn s birth weight tends to increase well. 48. 2-31

Days to Sell Asset B 1 8 6 4 2-2 -4-3 -2-1 1 2 Asset A There is a slightly negative relationship between the two assets. Therefore, it would be wise for the investor to include them in her portfolio. 49. 16 15 14 13 12 11 1 1 2 3 4 5 6 House Price (in $1s) There is a positive relationship. The realtor can conclude that generally, with higher home prices, the number of days to sell the home will tend to be higher as well. 5. Utah Kentucky Responses Relative Relative Yes 2/2 =.1 9/2 =.45 No 18/2 =.9 11/2 =.55 2-32

Relative Total = 1. Total = 1. b. The sample responses show the difference regarding smoking behavior in the two states. Notice that 45% of the households in Kentucky allow smoking at home whereas only 1% do so in Utah. 1 Smoking Behavior.8.6.4.2 Utah Kentucky Yes Response No The bar chart shows that smoking at home is much more common in Kentucky than in Utah. 51. Rating Relative Outstanding /28 = Good 8 8/28 =.286 Ok 7 7/28 =.25 Horrible 13 13/28 =.464 Total = 28 Total = 1 From the relative frequency distribution, we can conclude that the majority of the evaluations were either OK or Horrible. Notice that none of the responses included Outstanding. Therefore, it is necessary for the owner of the restaurant to improve the service and/or experience provided. b. 2-33

The pie chart which depicts categorical data in percentage values demonstrates the poor evaluations received. The bar chart is another way to depict categorical data effectively. We notice that the highest bar corresponds to the last category Horrible, and that there are no responses given for Outstanding. 52. 2-34

Parent's Preference Professions Survey.7.6.5.4.3.2.1 Dr, Banker, Lawyer, Pres. Internet mogul Humanitarian Athlete Movie/Rock Star Profession Other Humanitarian aid worker 6% Movie star, rock star Other 2% 5% Athlete 9% Internet mogul 13% Professions Survey Doctor, banker, lawyer, or president 65% Doctor, banker, lawyer, or president Internet mogul Humanitarian aid worker Athlete Movie star, rock star Other The charts reveal parent preferences. Sixty-five percent of parents want their children to have a profession such as a doctor, lawyer, banker or president. Less preferable are other professions such humanitarian-aid worker or a movie star. b. Since 9% of parents want their children to become an athlete, we find 55.9 5. Therefore, among 55 parents approximately 5 parents want their kids to become an athlete. 53. Classes 2-35

-2 up to -1 4-1 up to 7 up 1 9 1 up 2 3 2 up to 3 1 Total = 24 b. Classes (in %) Relative Cumulative Cumulative Relative -2 up to -1 4/24 =.167 4 4/24 =.167-1 up to 4/24 =.292 4 + 7 = 11 11/24 =.458 up 1 9/24 =.375 11 + 9 = 2 2/24 =.833 1 up 2 3/24 =.125 2 + 3 = 23 23/24 =.958 2 up to 3 1/24 =.42 23 + 1 = 24 24/24 = 1. Total 1. c. Nine funds had returns of at least % but less than 1%; there were 4 funds with returns of 1% or more. d. 12.5% of the funds had a return of at least 1% but not greater than 2%; 95.8% of the funds had returns less than 2%. 54. Region Relative Northeast 6,166/37,276 =.165 Midwest 7,237/37,276 =.194 South 15,51/37,276 =.416 West 8,372/37,276 =.225 Total = 1. 19.4% of people living below the poverty level live in the Midwest region. b. 2-36

Relative West 22% South 42% Northeast 17% Midwest 19% Northeast Midwest South West People Below Poverty Level.5.4.3.2.1 Northeast Midwest South West Region 55. These charts show that the highest percentage of people who live below the poverty level live in the South, and the lowest percentage live in the Northeast. Resolution Relative Saving more 328/126 =.32 Paying down debt 257/126 =.25 Making more income 154/126 =.15 Spending less 133/126 =.13 Investing more 13/126 =.1 Saving for large purchase 41/126 =.4 Don t know 1/126 =.1 Total = 1. 2-37

Relative 25% of the respondents said paying down debt was their top financial resolution. b..35 Financial Resolution.3.25.2.15.1.5 Saving more Paying down debt Making more income Spending less Investing more Saving for large purchase Don t know Resolution The bar chart shows that Saving more is the top financial resolution, followed by Paying down debt. Only a small portion of the respondents didn t know their financial resolution. 56. Response A few days.21(357) = 642 A few long weekends.18(357) = 55 One week.36(357) = 111 Two weeks.25(357) = 764 Total = 357 Approximately 111 people are going to take a one week vacation. b. 2-38

Relative Vacation Plan Two weeks 25% One week 36% A few days 21% A few long weekends 18% A few days A few long weekends One week Two weeks 57..5.4.3.2.1 Use of an unexpected tax refund Pay off debts Put it in the bank Spend it Tax Redund I never get a refund Other Notice that the most frequent responses were regards to paying off debts or putting it in the bank. b. Since 11% of 126 respondents said they would spend the refund, we find.11(126) 113. Therefore, approximately 113 of the respondents would spend the tax refund. 58. The pie chart is below. 2-39

b. The chart shows the highest percentage of people live in the South and the lowest percentage live in the Northeast. The chart shows the highest percentage of people living in poverty are in the South and the lowest percentage of people living in poverty are living in the Northeast. The percentage of people living in poverty in the South is higher than the percentage of people that live in South, and the percentage of people living in poverty in the Northeast is less than the percentage of people that live in the Northeast. 59. 2-4

Relative Attendance Relative Cumulative Cumulative Relative 1 up to 125 5/6 =.83 5.83 125 up to 15 6/6 =.1 5+6 = 11.83+.1 =.183 15 up to 175 1/6 =.167 11+1 = 21.183+.167 =.35 175 up to 2 2/6 =.333 21+2 = 41.35+.333 =.683 2 up to 225 15/6 =.25 41+15 = 56.683+.25 =.933 225 up to 25 4/6 =.67 56+4 = 6.933+.67 = 1. Total = 1. b. The most likely attendance range is from 1,75 up to 2, with a 33% frequency; there were 41 times out of 6 that attendance was less than 2,. c. Attendance was at least 1,75 but less than 2, 33.3% of the time; Attendance was less than 1,75 people 35% of the time; therefore, attendance was 1,75 or more 65% of the time. d..35 Histogram of Attendance in July and August.3.25.2.15.1.5 1 up to 125 125 up to 15 15 up to 175 175 up to 2 Attendance 2 up to 225 225 up to 25 The distribution is not symmetric; it is negatively skewed. 6. Average MPG Relative frequency Cumulative Cumulative Relative 15 up to 2 15/8 =.1875 15.1875 2 up to 25 3/8 =.375 15 + 3 = 45 45/8 =.5625 25 up to 3 15/8 =.1875 45 + 15 = 6 6/8 =.75 2-41

Relative frequency 3 up to 35 1/8 =.125 6 + 1 = 7 7/8 =.875 35 up to 4 7/8 =.875 7 + 7 = 77 77/8 =.9625 4 up to 45 3/8 =.375 77 + 3 = 8 8/8 = 1. Total = 1. b. 6 cars got less than 3 mpg; 37.5% of the cars got at least 2 but less than 25 mpg; 87.5% of the cars got less than 35 mpg; Since 87.5% got less than 35 mpg, 12.5% of the cars got 35 mpg or more. c. Mileage Economy Test.4.35.3.25.2.15.1.5 Average MPG 61. The distribution is not symmetric; it is positively skewed. Days Working From Home 4 7% 3 15% 5 19% 12% 2 29% 1 18% 1 2 3 4 5 2-42

Relative frequency.35.3.25.2.15.1.5 Days Working From Home. 1 2 3 4 5 Days 62. There were 4 people out of 25 with a net worth greater than $2 billion. Since 4/25 =.16, 16% of the wealthiest people had net worth greater than $2 billion. b. Two people had a net worth less than $1 billion, which is 2/25 =.8, or 8%. From the previous question, we know that 16% had a net worth greater than $2 billion. Therefore, 16% + 8% = 24% did not have a net worth between $1 and $2 billion. Consequently, 76% had net worth between $1 billion and $2 billion. c. Stem Leaf 3 6 6 4 4 7 5 3 3 4 6 6 1 5 5 6 7 7 9 7 1 3 3 3 7 8 9 9 The distribution is not symmetric; it is negatively skewed. The majority of ages range from the 6s to 7s. Table 2.16 shows the majority of ages to be in the 5s and 6s. Further, this diagram shows ages ranging from 36 to 79, whereas Table 2.16 has ages ranging from 36 to 9. 63. Stem Leaf 8 8 9 9 1 1 1 2 2 2 2 3 3 4 4 5 6 6 8 8 9 9 9 2-43

2 9 9 3 7 The vast majority of the PEG ratios fall in the 1 range. The diagram represents somewhat positively skewed distribution; there are a few firms with relatively high PEG ratios. 64. Types of Houses sold in New Jersey Ranch 3% Other 2% Colonial 3% Contemporary 2% Colonial Contemporary Ranch Other Types of Houses sold in New Jersey 7 6 5 4 3 2 1 Colonial Contemporary Ranch Other Houses These charts show that the majority (6%) of houses were either Ranch or Colonial, but also 4% were either Contemporary or some other type. b. To figure out how wide to make the classes, find the highest price and subtract the lowest price to get the range. That is $568, - $3, = $268,. Then, since we want 7 classes, divide the range by 7; 268,/7 = $38,386. However, for ease of interpretation, round to the 2-44

most sensible number: $5,. Therefore, our classes will have a width of $5,, with a lower bound of the first class of $3,. Classes 3, up to 35, 4 35, up to 4, 6 4, up to 45, 4 45, up to 5, 2 5, up to 55, 3 55, up to 6, 1 Total = 2 c. Types of Houses sold in New Jersey 7 6 5 4 3 2 1 3, up to 35, 35, up to 4, 4, up to 45, 45, up to 5, 5, up to 55, 55, up to 6, Houses 2-45

Sales (in $1s) 25 Ogive for House Price 2 15 1 5 1 2 3 4 5 6 7 House Price (in $1s) The histogram shows that the most frequent house price is in the $35, up to $4, range. The ogive shows that the middle price (with a frequency of 1/2 or 5%) is about $4,. 65. 25 2 15 1 5 1 2 3 4 Advertising (in $1s) The scatter plot shows that the relation between Advertising and Sales is positive. The positive trend demonstrates that an increase in advertising will tend to increase sales. 66. 2-46

35 3 25 PPG 2 15 1 5 34 35 36 37 38 39 4 MPG The scatterplot reveals no clear relationship between PPG and MPG. Case Study 2.1: Distribution and Relative Distribution Sector Relative Consumer 3.233 Energy 2.67 Finance 5.167 Health 4.133 Manufacturing 5.167 Technology 7.233 Total 3 1. The pie chart is below. 2-47

The sectors with the largest representations are the technology, manufacturing and finance sectors. The sector with the lowest representation is the energy sector. Case Study 2.2 The net profit margin is a firm s net profit after taxes to revenue. It is measured in percentage, showing the percentage of net income per dollar in sales or other operating income. Net Profit Margin Relative Cumulative Cumulative Relative -1% up to -5% 1 1/32 =.31 1 1/32 =.31-5 up to 6 6/32 =.188 7 7/32 =.219 up to 5 1 1/32 =.313 17 17/32 =.531 5 up to 1 11 11/32 =.344 28 28/32 =.875 1 up to 15 2 2/32 =.63 3 3/32 =.938 15 up to 2 2 2/32 =.63 32 32/32 = 1. Total = 32 Total 1 2-48

Relative 12 Histogram for Net Profic Margin 1 8 6 4 2-1 up to -5-5 up to up to 5 5 up to 1 1 up to 15 15 up to 2 Net Profit Margin 1 Ogive.8.6.4.2-2 -1 1 2 3 Net Profit Margin The data tends to cluster between % and 1%, as shown in the histogram. The net profit margins range from -5.19% to 19.95%. Approximately 53% of the firms have a net profit margin below 5%. Case Study 2.3 Life Expectancy Relative Cumulative Cumulative Relative 73.5 up to 75 1 1/5=.2 1 1/5=.2 75 up to 76.5 7 7/5=.14 8 8/5=.16 76.5 up to 78 9 9/5=.18 17 17/5=.34 78 up to 79.5 16 16/5=.32 33 33/5=.66 79.5 up to 81 16 16/5=.32 49 49/5=.98 81 up to 82.5 1 1/5=.2 5 5/5=1. 2-49

2 Histogram for Life Expectancy 15 1 5 73.5 up to 75 75 up to 76.5 76.5 up to 78 78 up to 79.5 79.5 up to 81 81 up to 82.5 Life Expectancy The data tends to cluster between 78 and 81, as shown in the histogram. The distribution is negatively skewed. More download links: business statistics communicating with numbers answer key download business statistics communicating with numbers test bank pdf business statistics communicating with numbers 2nd edition pdf business statistics communicating with numbers second edition business statistics communicating with numbers ebook business statistics communicating with numbers connect business statistics communicating with numbers 2nd edition solutions business statistics communicating with numbers solutions 2-5