# 1. a survey of employees at a company finds that 32 of the 88

1.     A survey of employees at a company finds that 32 of the 88 employees who drive to work were ever late during the past year, and 18 of the 64 employees who took public transportation were ever late during the past year.  At α = 0.10, is there a difference between the proportion of employees who drove who were ever late and the proportion of employees who took public transportation who were ever late?

Find the test value for the difference in the proportion of employees who were ever late for work in the past year.

What is your decision for this test?

1. The test value is greater than the critical value of 1.960.
2. The test value is less than the critical value of 1.645.
3. The test value is greater than the critical value of 1.282.
4. The test value is less than the critical value of 1.960.

2.     A company has observed that there is a linear relationship between indirect labor expense (ILE) , in dollars, and direct labor hours (DLH). Data for direct labor hours and indirect labor expense for 18 months are given in the file ILE_and_DLH.xlsx

Treating ILE as the response variable, use regression to fit a straight line to all 18 data points. What values for the intercept (a)  and slope (b) do you obtain?

Place your answers, rounded to 3 decimal places, in the blanks provided.  Do not use any stray punctuation marks.  For example, 34.567 would be a legitimate entry.

intercept (a) = [removed]
slope(b) = [removed]

3.     An investor wants to compare the risks associated with two different stocks. One way to measure the risk of a given stock is to measure the variation in the stock’s daily price changes.

In an effort to test the claim that the variance in the daily stock price changes for stock 1 is different from the variance in the daily stock price changes for stock 2, the investor obtains a random sample of 21 daily price changes for stock 1 and 21 daily price changes for stock 2.

The summary statistics associated with these samples are: n1 = 21, s1 = .848, n2 = 21, s2 = .529.

If you follow Bluman’s advice and place the larger variance in the numerator when computing the test value, at the .05 level of significance, what is the critical value associated with this test of hypothesis? Place your answer, rounded to 2 decimal places, in the blank. For example, 3.45 would be a legitimate entry. [removed]

4.     When the necessary conditions are met, a two-tail test is being conducted to test the difference between two population proportions. The two sample proportions are  = 0.35 and = 0.42, and the standard error of the sampling distribution of  is 0.054. The calculated value of the test statistic is 1.2963.

 [removed]True [removed]False

5.     When the actual values y of a response variable and the corresponding predicted values y’ are the same, the standard error of the estimate will be zero.

 [removed]True [removed]False

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