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Ch7
1. A sample in which the sampling units are chosen from the population by means of a random mechanism is a:
a. probability sample b. judgmental sample
c. stratified sample d. systematic sample
ANSWER: a
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Knowledge
TOPICS: A-Head: 7-2 Sampling Terminology
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
6. A list of all members of the population from which we can choose a sample is called a frame, and the potential sample
members are called sampling units.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Knowledge
TOPICS: A-Head: 7-2 Sampling Terminology
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
7. A probability sample is a sample in which the sampling units are chosen from the population by means of a random
mechanism such as a random number table.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Knowledge
TOPICS: A-Head: 7-2 Sampling Terminology
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
8. We can measure the accuracy of judgmental samples by applying some simple rules of probability. This way,
judgmental samples are not likely to contain our built-in biases.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Comprehension
TOPICS: A-Head: 7-2 Sampling Terminology
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
9. A sample chosen in such a way that every possible subset of same size has an equal chance of being selected is
called a(n):
a. interval estimation b. point estimation
c. simple random sample. d. statistic
ANSWER: c
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Knowledge
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
10. The sampling method in which a population is divided into blocks and then selected by choosing a random
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Ch7
mechanism is called a:
a. random sampling b. systematic sampling
c. stratified sampling d. cluster sampling
ANSWER: b
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Knowledge
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
11. Which of the following is not a consideration when determining appropriate sample size?
a. the cost of sampling b. the timely collection of the data
c. interviewer fatigue d. the likelihood of nonsampling error
ANSWER: c
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Knowledge
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
14. Selecting a random sample from each identifiable subgroup within a population is called:
a. demographic sampling
b. systematic sampling
c. stratified sampling
Copyright Cengage Learning. Powered by Cognero. Page 3
Ch7
d. cluster sampling
e. none of these choices
ANSWER: c
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Knowledge
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
15. Which of the following are reasons for why simple random sampling is used infrequently in real applications?
a. Samples can be spread over a large geographic region.
b. Simple random sampling requires that all sampling units be identified prior to sampling.
c. Simple random sampling can result in underrepresentation or overrepresentation of certain segments of the
population.
d. All of these choices are valid reasons.
ANSWER: d
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Knowledge
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
17. Simple random samples are samples in which each member of the population has the same chance of being chosen.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Knowledge
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
18. A simple random sample is one where each member of the population has a known chance (this may differ from one
member to another) or probability of being chosen.
a. True
b. False
ANSWER: False
Copyright Cengage Learning. Powered by Cognero. Page 4
Ch7
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Knowledge
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
19. In systematic sampling, one of the first k members is selected randomly, and then every kth member after this one is
selected. The value k is called the sampling interval and equals the ratio N / n, where N is the population size and n is the
desired sample size.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Knowledge
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
20. In stratified sampling, the population is divided into relatively homogeneous subsets called strata, and then random
samples are taken from each stratum.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Knowledge
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
21. In stratified sampling with proportional sample sizes, the proportion of each stratum selected differs from stratum to
stratum.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Knowledge
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
22. In cluster sampling, the population is divided into subsets called clusters (such as cities or city blocks), and then a
random sample of the clusters is selected. Once the clusters are selected, we typically sample all of the members in each
selected cluster.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Knowledge
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
Copyright Cengage Learning. Powered by Cognero. Page 5
Ch7
23. The probability of being chosen in a simple random sample of size n from a population of size N is:
a. 1/N b. N – 1/n
c. N/n d. n/N
ANSWER: d
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Comprehension
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
26. The primary advantage of cluster sampling is sampling convenience (and possibly less cost). The downside, however,
is that the inferences drawn from a cluster sample can be less accurate, for a given sample size, than for other sampling
plans.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Comprehension
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
27. The finite population correction factor is a correction for the standard error when the sample size is fairly large relative
to the population size.
a. True
b. False
28. Simple random sampling can result in under-representation or over-representation of certain segments of the
population. This is one of several reasons that simple random samples are almost never used in real applications.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Comprehension
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
29. Stratified samples are typically not used in real applications because they provide less accurate estimates of
population parameters for a given sampling cost.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Comprehension
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
30. Cluster sampling is often less convenient and more costly than other random sampling methods.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Comprehension
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
31. One obvious advantage of stratified sampling is that we obtain separate estimates within each stratum – which we
would not obtain if we took a simple random sample from the entire population. A more important advantage is that we
can increase the accuracy of the resulting population estimates by using appropriately defined strata.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Comprehension
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
33. Consider the frame of 50 full-time employees of Computer Technologies, Inc (CTI). CTI’s human resources manager
has collected annual salary figures for all employees and she has calculated a mean of $47,723, a median of $41,082 and
a standard deviation of $24,167. A simple random sample of 10 employees is presented below (salary is in $1,000’s).
Compute the mean, median, and standard deviation for the sample and compare these statistics with the measures for
the entire company.
Employee 1 2 3 4 5 6 7 8 9 10
Salary 38.8 46.7 61.1 49.6 58.5 78.8 36.7 46.5 47.6 56.7
ANSWER: Sample statistics: mean = $52,100, median = $48,600, standard deviation = $12,279.5
Population parameters: mean = $47,723, median = $41,082, standard deviation = $24,167
The sample mean and median are larger than the corresponding population mean and median, but the
sample standard deviation is much smaller (about 51%) of the population standard deviation.
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Application
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
34. A sales manager for a company that makes commercial ovens for restaurants is interested in estimating the average
number of restaurants in all metropolitan areas across the entire country. He does not have access to the data for each
metropolitan location, so he had decided to select a sample that will be representative of all such areas, and will use a
sample size of 30. Do you believe that simple random sampling is the best approach to obtaining a representative subset
of the metropolitan areas in the given frame? Explain. If not, recommend how the sales manager might proceed to select
a better sample of size 30 from this data?
ANSWER: Using a simple random sample may not be the best approach. If you are trying to determine the number
of restaurants in metropolitan areas, it seems as though this would be somewhat dependent on the size
(population) of the metropolitan areas under investigation. It may be better to stratify the samples. You
could divide the metropolitan areas into several strata based on their population and then sample within
each stratum. This may be more representative of the metropolitan areas across the country.
POINTS: 1
DIFFICULTY: Moderate | Bloom’s: Analysis
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
The manager of a small computer company has collected current annual salaries and number of years of post-secondary
education for 52 full-time employees. The data are shown below:
35. (A) Compute the mean, median, and standard deviation of the annual salaries for the 52 employees in the given
frame.
(B) Use Excel® to choose a systematic sample of size 13 from the frame of annual salaries.
(C) Compute the mean, median, and standard deviation of the annual salaries for the 13 employees included in your
systematic sample in (B)
(D) Compare your statistics in (C) with your computed descriptive measures for the frame in (A). Is your systematic
sample representative of the frame with respect to the annual salary variable?
(E) Assume that we wish to stratify these employees by the number of years of post-secondary education, select such a
stratified sample of size 15 with approximately proportional sample sizes.
(F) Compute the mean, median, and standard deviation of the annual salaries for the 15 employees included in your
stratified sample in (E).
(G) Compare these statistics in (F) with your computed descriptive measures for the frame obtained in (A). Is your
stratified sample representative of the frame with respect to the annual salary variable?
ANSWER: (A) The mean, median, and standard deviation of the given frame were computed using StatTools as
shown below:
(B) In order to generate a systematic sample, we must first divide the frame size by the desired sample
size to find the relevant intervals from which we will sample. The sampling interval in this case is 4,
(C)
(D) After generating the summary measures for both the frame and the sample, we can conclude that the
sample does not represent the frame well. The mean, median, and standard deviation of the frame are all
much smaller than the mean, median, and standard deviation of the sample.
(E) This portion of the solution involves several steps. First, we noted the total sample size needed.
Second, we developed the strata we will use to separate the given frame: in this case we placed every
two years in a new stratum as shown below. Next, we generated a column labeled "Category", to place a
number between 1 and 5 next to the salary that corresponds with the stratum of that number. For
example, if the annual salary was of a person who only had 2 years of education beyond secondary
education, then a number 2 for Stratum 2 was placed next to the salary. The "Category" column was
generated using an IF statement. We then unstacked the categories in order to count the number of
salaries in each stratum. This was done by using StatTools's Data Utilities/Unstack function. Once this
was completed, we used the COUNT function in Excel® to count the number of values in each stratum
and then generated proportional numbers for each stratum with respect to the size of the given
population. Once the proportions are generated, we used the random number function in Excel® to assign
a random number to each salary. Then, by using Excel® to sort the salaries in each stratum by their
random number (in this case by ascending number) we selected the salaries in each stratum that will be
included in the sample. These salaries are shown below.
(F)
(G) When looking at the mean, median, and standard deviation of both the sample and population, we
can conclude that the stratified sample represents the population fairly well, although the summary
measures are all slightly lower than those of the population.
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Application
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
Suppose that you are an entrepreneur interested in establishing a new Internet-based auction service. Furthermore,
suppose that you have gathered basic demographic information on a large number of Internet users. You currently have
information on 1000 individuals related to their gender, age, education, marital status, annual household income, and
number of people in household. Assume that these individuals were carefully selected through stratified sampling.
36. (A) To assess potential interest in your proposed enterprise, you would like to conduct telephone interviews with a
representative subset of the 1000 Internet users. How would you proceed to stratify the given frame of 1000 individuals to
choose 50 for telephone interviews? Explain your approach.
(B) Explain how you could apply cluster sampling to obtain a sample size of 50 from this frame. What are the advantages
and disadvantages of employing cluster sampling in this case?
ANSWER: (A) Which of these factors will have an impact on the use of the auction service? You may want to use
gender, age, and annual household income. You should attempt to gather data on individuals that
Copyright Cengage Learning. Powered by Cognero. Page 11
Ch7
represent the different gender, age, and annual income groups that represent your customers. You may
find that you have different responses between these groups.
(B) You may decide that you want to sample 50 people in your immediate area. You can use your local
phone directory and call customers in your area. This type of sampling is convenient and is less costly.
The drawback is that the inference drawn from this type of sample may not be representative of the entire
population.
POINTS: 1
DIFFICULTY: Moderate | Bloom’s: Analysis
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
A statistics professor has just given the final examination in his introductory statistics course. In particular, he is interested
in learning how his class of 50 students performed on this exam. The data are shown below.
78 72 73 75 79 72 75 77 71 78
83 84 71 81 82 79 71 73 89 74
75 93 74 88 83 90 82 79 62 73
88 76 76 76 80 84 84 91 70 76
74 68 80 87 92 84 79 80 91 74
37. (A) Using these 50 students as the frame, use Excel® to generate a simple random sample of size 10 from this frame.
(B) Compute the mean scores in the frame and the simple random sample you generated in (A).
(C) Compare the mean scores you computed in (B). Is your simple random sample a good representative of the frame?
Why or why not?
(D) Using these 50 students as the frame, use Excel® to generate a systematic sample of size 10 from this frame.
(E) Compare the mean scores in the frame with that in the systematic sample in (D). What do you conclude?
ANSWER:
In order to solve this problem, we first generated an index value for each score in the given frame. Then
we used StatTool’s Random Sample tool in the Data Utilities section to generate a simple random sample
of scores from the population. Lastly, we used VLOOKUP function to find the corresponding score for
each index value. This process resulted in the following sample:
Index 6 34 37 10 26 24 32 36 4 33
Score 72 76 84 78 90 88 76 84 75 76
(B) Population mean score = 78.92, Sample mean score = 79.90 in the above case.
(C) The mean of the sample generated from the given frame of scores is clearly very close to the mean of
the population. Therefore we may conclude that the simple random sample is fairly representative of the
population of introductory statistics final exam scores.
(D) In order to generate a systematic sample, we must first divide the frame size (50) by the desired
sample size (10) to find the relevant intervals from which we will sample. The sampling interval in this
case is 5, meaning that every 5th score will be included in the sample. Next, we randomly choose a
number between 1 and 5. Suppose that this number happens to be 1. This will be our starting point in the
first block of 5 scores. To identify every 5th score thereafter, we first developed an index column to assign
an index value to each score. We then used the MOD function in Excel® to label every 5th score with a “1”
assigned to it. We have now generated a systematic sample of size 10. The sample consists of the
following values: 78, 72, 83, 79, 75, 90, 88, 84, 74, and 84.
(E) The means of the frame and of the sample were found to be 78.92 and 80.7, respectively. We see
that these means are very close. From this analysis, we can conclude that the systematic sample is fairly
representative of the frame or population.
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Analysis
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
A university bookstore manager is mildly concerned about the number of textbooks that were under-ordered and thus
unavailable two days after the beginning of classes. The manager instructs an employee to pick a random number, go to
the place where that number book is shelved, examine the next 50 titles, and record how many titles are unavailable.
38. (A) Technically, this process does not yield a random sample of the books in the store. Why not?
Sally Bird of Big Rapids Realty has received data on 60 houses that were recently sold in Mecosta County in Michigan.
The data are recorded in the table shown below. Included in this data set are observations for each of the following
variables:
39. (A) Suppose that Sally wishes to examine a representative subset of these 60 houses that has been stratified by the
number of bedrooms. Use Excel® to assist her by finding such a stratified sample of size 10 with proportional sample
sizes.
(B) Explain how Sally could apply cluster sampling in selecting a sample of size 15 from this frame.
(C) What are the advantages and disadvantages of employing cluster sampling in this case?
ANSWER:
(A) In this problem, the stratified sample was found by using strata that were based on the number of
bedrooms in the house. Once we established how to stratify the frame, we unstacked the prices
according to the strata (in this case, the number of bedrooms). This was done by using StatPro’s Data
Utilities/Unstack variables. Once this was completed, we counted the number of houses in each stratum
and then assigned a proportional size to each stratum relative to the size of the frame (in this case, size
of the frame is 60). After the proportions were generated, we used Excel to generate a random number
for each price in each stratum. Next, we used the sort function in Excel® to place the prices in order of
ascending random numbers. We then chose the prices to be included in the stratified sample. These
results are shown below. Note that the stratified sample size is 11 (not 10) due to rounding.
(B) In this situation, Sally could have selected a few neighborhoods within Mecosta County, Michigan,
and obtained all the sample information from the selected neighborhoods.
(C) By using cluster sampling, Sally would be able to generate her sample more quickly and conveniently.
The disadvantage of cluster sampling in this case is that Sally would have to make sure she selected
neighborhoods that fairly represented the variety of households in the county. For example, if the county
had a large variety of homes with only 2 bedrooms, but the sample neighborhoods selected mostly
contained homes with 4 bedrooms, the sample information would not fairly represent the entire frame. If
this were the case, cluster sampling would not be a good way to select a sample.
POINTS: 1
DIFFICULTY: Moderate | Bloom’s: Application
TOPICS: A-Head: 7-3 Methods for Selecting Random Samples
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
40. The standard error of sample mean is large when the observations in the population are spread out (large ), but
that the standard error can be reduced by taking a smaller sample.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Easy | Bloom’s: Comprehension
TOPICS: A-Head: 7-4 Introduction to Estimation
OTHER: BUSPROG: Analytic | DISC: Statistical Inference
V. Askesi.
1. Brescian Arnold.
II. Valdolaiset.
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