QUANTITATIVE ANALYSIS

Quantitative Analysis

Quantitative Analysis

Section A

Answer No. 1

The given statement shows that 99% CI would be better than 95% as it would decrease the margin of rejection. Moreover, the range of CI is quite big i.e. 3000 units; therefore, 99% CI would be a better option.

Answer No. 2

(a)

If, Mean (m) = £ 50

Standard deviation (s) = £ 6

P (X < 40)

Normal Distribution = 0.9522

Thus, the probability of first donation which will be received is 9.522%.

(b)

If, Mean (m) = £ 50

Standard deviation (s) = £ 6

P (x > 0.05)

X = £ 40

Therefore, the value of x with the 5% of probability that is donations are more than £40.

Answer No. 3

The case intends to examine the computer usage among the university students, from which it is found that 144 students out of 300 students own a laptop which is 48% percent of total sample. From this estimate, it is difficult to draw any reliable conclusions about the computer usage among the students of university; the reason of this statement is that this percentage only shows the students who own laptop. For that reason, it is imperative and essential that the complete data should be gathered that is data collection on the basis of question which shows how many hours a student spend his or time on laptop. Therefore, the results of the data will show the relevant and reliable results of the study which will meet the objective of the study that is computer usage among the students of university. Besides it, it is also crucial and necessary that appropriate statistical test should be applied that chi-square which will present the desired results of the computer usage among the university students.

Answer No. 4

If, Standard deviation (s) = £ 6

P (1.5 < 0.95)

X = 1.5 unites

then, Mean (m) = 22.5

For that reason, the value of variable x is 1.5 units with the 95% of probability; the population mean of large population is 22.5.

Answer No. 5

(a)

If a test is significant at 1% level of significance then it can be concluded that the model for the applicable test shows that the null hypothesis is accepted and result of the study is 99% correct.

(b)

In the case given that is if a test is significant at 10% level of significance then it can be concluded that the model for the applicable test shows that the null hypothesis is accepted and result of the study is 90% accurate. However, in this context, if this test is not significant at 5% significance level then it can be said that the model reflects that the null hypothesis is rejected and results of the study are not correct at 95%; due to the reason that the model is accepted at 10% significance level.

Section B

Answer No. 1

Month

Cost

Price

Sales

1

£ 50 £ 80 £ 40

2

£ 50 £ 75 £ 50

3

£ 50 £ 70 £ 60

4

£ 50 £ 65 £ 70

5

£ 50 £ 60 £ 80

6

£ 50

£ 55

£ 90 ...