TUTORIAL 1

1.1. The U.S. Department of Energy provides fuel economy information for a variety of motor
vehicles. A sample of 10 automobiles is shown in Table 1.6 (Fuel Economy website, February
22, 2008). Data show the size of the automobile (compact, midsize, or large), the number of
cylinders in the engine, the city driving miles per gallon, the highway driving miles per gallon,
and the recommended fuel (diesel, premium, or regular).
a. How many elements are in this data set?
b. How many variables are in this data set?
c. Which variables are categorical and which variables are quantitative?
d. What type of measurement scale is used for each of the variables?

1.2. Table 1.7 shows data for seven colleges and universities. The endowment (in billions of
dollars) and the percentage of applicants admitted are shown (USA Today, February 3, 2008).
The state each school is located in, the campus setting, and the NCAA Division for varsity
teams were obtained from the National Center of Education Statistics website, February 22,
2008.
a. How many elements are in the data set?
b. How many variables are in the data set?
c. Which of the variables are categorical and which are quantitative?

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1.3. Foreign Affairs magazine conducted a survey to develop a profile of its subscribers
(Foreign Affairs website, February 23, 2008). The following questions were asked.
a. How many nights have you stayed in a hotel in the past 12 months?
b. Where do you purchase books? Three options were listed: Bookstore, Internet, and Book
Club.
c. Do you own or lease a luxury vehicle? (Yes or No)
d. What is your age?
e. For foreign trips taken in the past three years, what was your destination? Seven international
destinations were listed.
Comment on whether each question provides categorical or quantitative data.
1.4. The Ritz-Carlton Hotel used a customer opinion questionnaire to obtain performance data
about its dining and entertainment services (The Ritz-Carlton Hotel, Naples, Florida, February
2006). Customers were asked to rate six factors: Welcome, Service, Food, Menu Appeal,
Atmosphere, and Overall Experience. Data were recorded for each factor with 1 for Fair, 2 for
Average, 3 for Good, and 4 for Excellent.
a. The customer responses provided data for six variables. Are the variables categorical or
quantitative?
b. What measurement scale is used?
1.5. State whether each of the following variables is categorical or quantitative and indicate its
measurement scale.
a. Annual sales
b. Soft drink size (small, medium, large)
c. Employee classification (GS1 through GS18)
d. Earnings per share
e. Method of payment (cash, check, credit card)
1.6. Figure 1.8 provides a bar chart showing the amount of federal spending for the years 2002
to 2008 (USA Today, February 5, 2008).
a. What is the variable of interest?
b. Are the data categorical or quantitative?
c. Are the data time series or cross-sectional?
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d. Comment on the trend in federal spending over time.

1.7. CSM Worldwide forecasts global production for all automobile manufacturers. The
following CSM data show the forecast of global auto production for General Motors, Ford,
DaimlerChrysler, and Toyota for the years 2004 to 2007 (USA Today, December 21, 2005).
Data are in millions of vehicles.

a. Construct a time series graph for the years 2004 to 2007 showing the number of vehicles
manufactured by each automotive company. Show the time series for all four manufacturers on
the same graph.
b. General Motors has been the undisputed production leader of automobiles since 1931. What
does the time series graph show about who is the world’s biggest car company? Discuss.
c. Construct a bar graph showing vehicles produced by automobile manufacturer using the 2007
data. Is this graph based on cross-sectional or time series data?
1.8. Table 1.8 shows a data set containing information for 25 of the shadow stocks tracked by
the American Association of Individual Investors. Shadow stocks are common stocks of smaller
companies that are not closely followed by Wall Street analysts. The data set is also on the
website that accompanies the text in the file named Shadow02.
a. How many variables are in the data set?
b. Which of the variables are categorical and which are quantitative?
c. For the Exchange variable, show the frequency and the percent frequency for AMEX, NYSE,
and OTC. Construct a bar graph similar to Figure 1.5 for the Exchange variable.
d. Show the frequency distribution for the Gross Profit Margin using the five intervals: 0–14.9,
15–29.9, 30–44.9, 45–59.9, and 60–74.9. Construct a histogram similar to Figure 1.6.
e. What is the average price/earnings ratio?

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1.9. The top four prime-time television shows were Law & Order, CSI, Without a Trace, and
Desperate Housewives (Nielsen Media Research, January 1, 2007). Data indicating the
preferred shows for a sample of 50 viewers follow.
DH CSI DH CSI L&O
Trace CSI L&O Trace CSI
CSI DH Trace CSI DH
L&O L&O L&O CSI DH
CSI DH DH L&O CSI
DH Trace CSI Trace DH
DH CSI CSI L&O CSI
L&O CSI Trace Trace DH
L&O CSI CSI CSI DH
CSI DH Trace Trace L&O
a. Are these data categorical or quantitative?
b. Provide frequency and percent frequency distributions.
c. Construct a bar chart and a pie chart.
d. On the basis of the sample, which television show has the largest viewing audience? Which
one is second?