STAS HW ASSIGN WK1
MG 620 Statistics for Managers
HOME WORK ASSIGNMENT 1
SUBMITTED BY
HARSH KAVISHWAR
Question 1.1
Four different beverages are sold at a fast-food restaurant: soft drinks, tea, coffee, and bottled water.
a. Explain why the type of beverage sold is an example of a categorical variable
ANS. Categorical variables take values that fall into one or more categories. As there are 4 different types of drinks, they would all fall into their own categories rather than numerical.
b. Explain why the type of beverage sold is an example of a nominal scaled variable
ANS. The type of drinks sold is an example of a nominally scaled variable as there are no rankings involved between the drinks. For example, each type of drink is equal.
Question 1.2
U.S. businesses are listed by size: small, medium, and large. Explain why business size is an example of an ordinal scaled variable
ANS. Ordinal value variables are variable which are divided into categories with same ranking or order implied on the categories formed. Therefore the business size is an example of the ordinal scale variable because we divide the variable into categories These categories being small, medium and large.
Question 1.3
The time it takes to download a video from the Internet is measured.
a. Explain why the download time is a continuous numerical variable
ANS. Numerical variables record numbers through observations. As the time taken to download the file produces a number represented by time, the download is a numerical variable.
b. Explain why the download time is a ratio scaled variable
ANS. The download time is a ratio scaled variable as the time differences involve a true zero point, meaning that they use the same time scale.
Question 1.25 Page 27
Suppose that 5,000 sales invoice are separated into four strata. Stratum 1 contains 50 invoices, stratum 2 contains 500 invoices, stratum 3 contains 1,000 invoices, and stratum 4 contains 3,450 invoices. A
HOME WORK ASSIGNMENT 1
SUBMITTED BY
HARSH KAVISHWAR
Question 1.1
Four different beverages are sold at a fast-food restaurant: soft drinks, tea, coffee, and bottled water.
a. Explain why the type of beverage sold is an example of a categorical variable
ANS. Categorical variables take values that fall into one or more categories. As there are 4 different types of drinks, they would all fall into their own categories rather than numerical.
b. Explain why the type of beverage sold is an example of a nominal scaled variable
ANS. The type of drinks sold is an example of a nominally scaled variable as there are no rankings involved between the drinks. For example, each type of drink is equal.
Question 1.2
U.S. businesses are listed by size: small, medium, and large. Explain why business size is an example of an ordinal scaled variable
ANS. Ordinal value variables are variable which are divided into categories with same ranking or order implied on the categories formed. Therefore the business size is an example of the ordinal scale variable because we divide the variable into categories These categories being small, medium and large.
Question 1.3
The time it takes to download a video from the Internet is measured.
a. Explain why the download time is a continuous numerical variable
ANS. Numerical variables record numbers through observations. As the time taken to download the file produces a number represented by time, the download is a numerical variable.
b. Explain why the download time is a ratio scaled variable
ANS. The download time is a ratio scaled variable as the time differences involve a true zero point, meaning that they use the same time scale.
Question 1.25 Page 27
Suppose that 5,000 sales invoice are separated into four strata. Stratum 1 contains 50 invoices, stratum 2 contains 500 invoices, stratum 3 contains 1,000 invoices, and stratum 4 contains 3,450 invoices. A