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Practice Exam

Summer 2015

Student Number:______________________________

Time: 3 hrs.

Closed Book. You may have two sheets (8.5 11, two sided) of formulas. Make sure you show the logic of

your answers. You will lose points if logic is not shown. Good Luck!

Question

1

2

3

4

5

6

Total

Score

The superintendent of a school district wanted to predict the percentage of student passing a sixth-grade

proficiency test. She obtained the data on percentage of students passing the proficiency test (% Passing), daily

average of the percentage of students attending class (% Attendance), average teacher salary in dollars

(Salaries), and instructional spending per pupil in dollars (Spending) of 47 schools in the state.

Following is a multiple regression output with Y = % Passing as the dependent variable, X1 = :%

Attendance, X2 = Salaries and X3 = Spending.

The coefficient of multiple determination R 2j of each of the 3 predictors with all the other remaining

predictors are, respectively, 0.0338, 0.4669, and 0.4743. The output from the best-subset regressions is given

below:

c) Using the best subsets approach to model selecting which model would you choose?

The following data show the percentage of suburban Americans who have a high-speed Internet connection at

home (Pew Internet Rural Broadband Internet Use Memo, February 2006.)

Year

2001

2002

2003

2004

2005

Suburban

9

17

23

29

40

Managers at a financial institution developed a logistic regression model to predict the probability of a

person being approved for a loan. The dependent variable (response) in the model is equal to 1 if the person

is approved for the loan and 0 otherwise. The independent variables (predictors) are the persons current

yearly salary (in dollars) and their past credit history. The credit history is equal to 1 if the person has good

credit and 0 otherwise.

The following is the Minitab output for the logistic regression model:

b) At the 0.05 level of significance, is there evidence that salary makes a significant contribution to the

model?

c) Using the logistic regression equation, predict the probability that a persons loan is approved if they are

currently earning $30,000 per year and have a good credit history.

a) What are the assumptions necessary to conduct an analysis of variance for a completely randomized

experiment?

b) North American Oil Company is attempting to develop a reasonably priced gasoline that will deliver

improved gasoline mileages. As part of its development process, the company would like to compare

the effects of three types of gasoline (A, B, and C) on gasoline mileage. For testing purposes, North

American Oil will compare the effects of gasoline types A, B, and C on the gasoline mileage obtained

by a popular compact model called the Lance. Suppose the company has access to 1,000 Lances that are

representative of the population of all Lances, and suppose the company will utilize a completely

randomized experimental design that employs samples of size five. In order to accomplish this, five

Lances will be randomly selected from the 1,000 available Lances. These autos will be assigned to

gasoline type A. Next, five different Lances will be randomly selected from the remaining 995 available

Lances. These autos will be assigned to gasoline type B. Finally, five different Lances will be

randomly selected from the remaining 990 available Lances. These autos will be assigned to gasoline

type C.

8.525

=12.74

b1)

b2)

Specify the appropriate hypothesis to test and your statistical conclusion at = .05.

The Jacobs Chemical Company wants to estimate the mean time (minutes) required to mix a batch of material

on machines produced by three different manufacturers. To limit the cost of testing, four batches of material

were mixed on machines produced by each of the three manufacturers.

a) Write a multiple regression equation that can be used to analyze the data.

b) In terms of the regression equation coefficients, what hypotheses must we test to see whether the mean

time to mix a batch of material is the same for all three manufacturers?

a) Use the Holt-Winters method of fitting to the number of arrivals to compute the smoothed level and

trend with a smoothing constant of 0.3 for both levels and trend for the following data.

Mondays

1

2

3

4

5

6

Arrivals

60

72

96

84

36

48

b) Compute the exponential smoothing model using a smoothing constant of .25 for the arrivals data in a).

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