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Chapter 20—Basic Data Analysis: Descriptive Statistics TRUE/FALSE The researcher examining descriptive statistics for any particular variable is using univariate statistics ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 486 The type of measurement scale used in the research study determines the possible statistical tests that can be used appropriately with the resulting data ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 486 All statistics that are appropriate to use for higher-order scales (ratio scales are the highest) are also appropriate to use with lower-order scales (nominal scales are the lowest) ANS: F All statistics appropriate for lower-order scales (nominal is the lowest) are suitable for higher-order scales (ratio is the highest) PTS: REF: p 486 NAT: AACSB: Reflective Thinking A planogram is a graphical way of showing the frequency distribution in which the height of a bar corresponds to the frequency of a category ANS: F This is a histogram PTS: REF: p 487 NAT: AACSB: Reflective Thinking Tabulation refers to the orderly arrangement of data in a table or other summary format ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 488 Cross-tabulation allows the inspection and comparison of differences among groups based on nominal or ordinal categories ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 488 A contingency table is a data matrix that displays the frequency of some combination of possible responses to multiple variables ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 489 The row and column totals in a contingency table are called subtotals because they are less than the total © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part ANS: F They are called marginals because they appear in the table’s margins PTS: REF: p 489 NAT: AACSB: Reflective Thinking Researchers usually are most interested in the marginals in a contingency table ANS: F They usually are more interested in the inner cells of a contingency table PTS: REF: p 489 NAT: AACSB: Reflective Thinking 10 A x table represents a contingency table with twelve variables ANS: F This represents a two-way contingency table displaying two variables - one with three levels and the other with four levels PTS: REF: p 490 NAT: AACSB: Reflective Thinking 11 In cross-tabulation of data, the basic rule is to compute the percentages in the direction of the dependent variable ANS: F The marginal total of the independent variable should be used as the base for computing the percentages PTS: REF: p 491 NAT: AACSB: Reflective Thinking 12 A common form of elaboration analysis is to cross-tabulation of data within subgroups of the sample under study ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 492 13 When a third variable inserted into the analysis changes the results when two other variables were studied previously, this third variable is called a moderator variable ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 492 14 When responses to two rating scale questions are plotted in four quadrants of a two- dimensional table, the result is called a histogram ANS: F This is called quadrant analysis PTS: REF: p 493 NAT: AACSB: Reflective Thinking 15 The process of changing data from their original form to a format that more closely fits the research objectives of the research study is called data transformation ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 493 © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part 16 Combining the data from adjacent categories of a Likert-scale item is a common form of data transformation ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 493 17 An index split means respondents below the observed median go into one category and respondents above the median go into another ANS: F This is called a median split PTS: REF: p 494 NAT: AACSB: Reflective Thinking 18 When a data set is unimodal, a median split of the data will lead to error ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 495 19 When ranking data are transformed, the frequency of the ranking score should be divided by the score ANS: F The transformation involves multiplying the frequency by the ranking score for each choice to result in a new scale PTS: REF: p 496 NAT: AACSB: Reflective Thinking 20 The purpose of a table in a research report is to summarize and communicate the meaning of the data to the reader ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 498 21 Even with toady’s advances in technology, computing power is still a barrier to completing a research project ANS: F Today, computing power is seldom a barrier to completing a research project PTS: REF: p 499 NAT: AACSB: Reflective Thinking 22 Box and whisker plots provide graphic representations of central tendencies, percentiles, variabilities, and the shapes of frequency distributions ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 501 23 An extreme value that lies far outside of the normal range of most of the data in a distribution (either as a very high score or as a very low score) is called an outlier ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 501 © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part 24 In business research, the process of interpretation should explain the meaning of the data in the research study to the reader of the research report ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 501 25 Data are sometimes merely reported and not interpreted ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 502 MULTIPLE CHOICE The transformation of raw data into a form that makes the data easier to understand and to interpret is called: a descriptive analysis b outlier analysis c computer mapping d creating a box and whisker plot ANS: A PTS: NAT: AACSB: Reflective Thinking REF: p 486 The researcher examining descriptive statistics for any particular variable is using which type of statistics? a multivariate b interval c nominal d univariate ANS: D PTS: NAT: AACSB: Reflective Thinking REF: p 486 Which of the following is a graphical way of showing the frequency distribution in which the height of a bar corresponds to the frequency of a category? a perceptual map b histogram c contingency table d frequency chart ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 487 Arranging data into a table is called: a tabulation b frequency c analysis d interpretation ANS: A PTS: NAT: AACSB: Reflective Thinking REF: p 488 Counting the number of responses to questions in a survey by hand is called: a index analysis © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part b tallying c elaboration analysis d moderator analysis ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 488 Arranging data so that the number of times each category occurs is called a(n) table a cross-tabulation b frequency c percentage d pre-coding ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 488 Counting the number of responses to different parts of a question in a survey and arranging these responses in a frequency distribution is called: a elaboration analysis b spurious analysis c marginal tabulation d index analysis ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 488 If 60 males are asked if they recognize the brand name, "Focus," and 35 of them correctly identify the product as a model of Ford’s product line within Ford Motor Co., the proportion of males in the sample who recognize this brand name is approximately: a .60 b .58 c .35 d .79 ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 488 Which of the following is the appropriate technique for addressing research questions involving relationships among multiple less-than interval variables? a cross-tabulation b ANOVA c regression d cluster analysis ANS: A PTS: NAT: AACSB: Reflective Thinking REF: p 488 10 A researcher interested in a data matrix that displays the frequency of some combination of possible responses to multiple variables should construct a: a perceptual map b contingency table c regression equation d marginal table ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 489 © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part 11 Carlos is examining the row and column totals in a contingency table What are these called? a marginals b subtotals c totals d running totals ANS: A PTS: NAT: AACSB: Reflective Thinking REF: p 489 12 If a researcher wants to summarize the responses of subjects by gender and awareness of a particular brand ("Yes" or "No"), he or she would use a contingency table a x b x c x d normal ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 490 13 The number of respondents or observations (in a row or column) used as a basis for computing percentages in a contingency table is referred to as a(n): a reference point b moderator c statistical base d analytical point ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 490 14 The conventional rule for computing percentages in a contingency table is to compute the percentages in the direction of the: a independent variable b marginal totals c dependent variable d column mean ANS: A PTS: NAT: AACSB: Reflective Thinking REF: p 491 15 Breaking down the answer to the question: "Have you ever purchased a ticket online for an American Airlines flight?" into subgroups based on gender and zip code is an example of: a a box and whisker plot analysis b an index number c elaboration analysis d interquartile analysis ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 492 16 When a third variable is included in the analysis that is studying the relationship between an independent variable and a dependent variable, and this third variable changes the relationship between the independent variable and the dependent variable in an important way, this third variable is called a(n): a spurious variable © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part b moderator variable c contingency variable d outlier variable ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 492 17 It is hypothesized that an individual’s style of processing information (i.e., verbal or visual) will influence the impact an advertising execution will have on attitudes toward the brand advertised Style of processing, then, is considered which type of variable? a dependent variable b external variable c internal variable d moderating variable ANS: D PTS: NAT: AACSB: Reflective Thinking REF: p 492 18 Which of the following is an extension of cross-tabulation in which responses to two rating-scale questions are plotted in four quadrants of a two-dimensional table? a performance analysis b transformation analysis c quadrant analysis d median split analysis ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 493 19 An analysis that compares the answer to the question: "How important is each of these attributes to you for an overnight delivery service?" (e.g on-time delivery, accurate invoicing, price, and so forth) when comparing several delivery service companies with a rating scale that rates these companies on the quality of their service on these same attributes is known as a(n): a moderator analysis b contingency analysis c importance-performance analysis d index analysis ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 493 20 Another name for data transformation is: a index analysis b data conversion c quadrant analysis d data exchange ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 493 21 When a respondent's answers to ten Likert-scale items are added up to form a total subset score for these questions, this is an example of: a data indexing b data transformation c contingency analysis d data indexing © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 493 22 When a researcher combines the "Strongly Disagree" and "Disagree" responses on a Likert scale item to a single "Strongly Disagree/Disagree" percentage, this is an example of: a data indexing b collapsing the data c the outlier effect d a box and whisker plot ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 493 23 Data with which type of distribution are appropriate for division based on the median split? a normally distributed b unimodal distribution c bimodal distribution d uniform distribution ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 494 24 Scores or observations recalibrated to indicate how they relate to a base number are referred to as: a index numbers b rank orders c elaborated numbers d real numbers ANS: A PTS: NAT: AACSB: Reflective Thinking REF: p 496 25 Index numbers require which level of measurement? a nominal b interval c ratio d ranked ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 496 26 Which of the following is used to simplify and clarify data? a tables b graphs c charts d all of the above ANS: D PTS: NAT: AACSB: Reflective Thinking REF: p 498 27 All of the following are software packages that can be used for data analysis EXCEPT: a Excel b SPSS c SAS d Word ANS: D PTS: REF: p 499 © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part NAT: AACSB: Reflective Thinking| AACSB: Technology 28 A researcher desires a graphical representation of central tendencies, percentiles, variabilities, and the shapes of frequency distributions of the data Which of the following will this for the researcher? a interquartile map b perceptual map c histogram d box and whisker plot ANS: D PTS: NAT: AACSB: Reflective Thinking REF: p 501 29 A researcher is reviewing average household income data and sees that one household reported an annual income of over $1 million This value lies outside the normal range of the data and is called a(n): a abnormality b marginal c outlier d quartile ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 501 30 When a researcher makes inferences about the meaning of the data from a research study and draws conclusions about what these data mean in terms of their implications, this is an example of: a data indexing b data analysis c quadrant analysis d data interpretation ANS: D PTS: NAT: AACSB: Reflective Thinking REF: p 501 COMPLETION A graph in which the height of a bar matches the frequency with which that category occurred is called a(n) ANS: histogram PTS: REF: p 487 NAT: AACSB: Reflective Thinking The orderly arrangement of data into a table is known as ANS: tabulation PTS: REF: p 488 NAT: AACSB: Reflective Thinking The arrangement of data into a row-and-column format that gives the number of responses for each category of the variable is known as a(n) table ANS: frequency PTS: REF: p 488 NAT: AACSB: Reflective Thinking © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part 4 When tabulation is done by hand to create a frequency table, this is called the data ANS: tallying PTS: REF: p 488 NAT: AACSB: Reflective Thinking The appropriate technique for addressing research question involving relationships among multiple less-than interval variables is ANS: cross-tabulation PTS: REF: p 488 NAT: AACSB: Reflective Thinking When the responses to two survey questions are presented as a cross-tabulation of the two variables studied in these two questions, the result is called a(n) table ANS: contingency PTS: REF: p 488 NAT: AACSB: Reflective Thinking A two-way contingency table is referred to as a(n) table ANS: x PTS: REF: p 490 NAT: AACSB: Reflective Thinking An analysis of the cross-tabulations for each level of a variable as it applies to sub-groups of the sample is known as analysis ANS: elaboration PTS: REF: p 492 NAT: AACSB: Reflective Thinking When a third variable changes in important ways the relationship between an independent variable and a dependent variable, this third variable is called a(n) variable ANS: moderator PTS: REF: p 492 NAT: AACSB: Reflective Thinking 10 When responses to two rating scale questions are plotted in four quadrants of a two- dimensional graph, this is called analysis ANS: quadrant PTS: REF: p 493 NAT: AACSB: Reflective Thinking 11 The process of changing data from its original form to a format that more closely matches the research objectives of the study is called data ANS: transformation © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part PTS: REF: p 493 NAT: AACSB: Reflective Thinking 12 Scores or observations recalibrated to indicate how they relate to a base number are called numbers ANS: index PTS: REF: p 496 NAT: AACSB: Reflective Thinking 13 A graphic representation of the range, central tendency, percentiles, and variabilities of a variable is called a(n) plot ANS: box and whisker PTS: REF: p 501 NAT: AACSB: Reflective Thinking 14 A value that lies far beyond the range of the rest of the data set is called a(n) ANS: outlier PTS: REF: p 501 NAT: AACSB: Reflective Thinking 15 Making inferences about the data and drawing conclusions about the implications suggested by a research study is called ANS: interpretation PTS: REF: p 501 NAT: AACSB: Reflective Thinking ESSAY What are descriptive statistics and why are they used in business research? ANS: Descriptive analysis is the elementary transformation of data in a way that describes the basic characteristics such as central tendency, distribution, and variability Averages, medians, modes, variance, range, and standard deviation typify widely applied descriptive statistics that can summarize responses from large numbers of respondents PTS: REF: p 486 NAT: AACSB: Reflective Thinking| AACSB: Communication Explain what a contingency table is and discuss how it is useful in business research ANS: A contingency table is a data matrix that displays the frequency of some combination of possible responses to multiple variables Two-way contingency tables, meaning they involve two less-than interval variables, are used most often The row and column totals often are called marginals because they appear in the table’s margins Researchers usually are more interested in the inner cells of a contingency table because they display conditional frequencies (combinations) Using these values, we can draw more specific conclusions PTS: REF: p 489 © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part NAT: AACSB: Reflective Thinking| AACSB: Communication Explain what an index number is and how it is computed What level of measurement is required to compute index numbers? ANS: Index numbers represent simple data transformations that allow researchers to track a variable’s value over time and compare a variable with other variables Recalibration allows scores or observations to be related to a certain base period or base number To calculate an index number, a base number is first selected Index numbers are computed by dividing the score for each category by the base number and multiplying by 100 If the data are time-related, a base year is chosen, and the index numbers are computed by dividing each year’s activity by the base-year activity and multiplying by 100 Index numbers require ratio measurement scales PTS: REF: p 496 NAT: AACSB: Reflective Thinking| AACSB: Communication List different computer software products designed for descriptive statistical analysis ANS: Excel, SAS, SPSS, and MINITAB PTS: REF: p 499 NAT: AACSB: Reflective Thinking| AACSB: Communication| AACSB: Technology Explain the components of a box and whisker plot ANS: Box and whisker plots provide graphic representations of central tendencies, percentiles, variabilities, and the shapes of frequency distributions The response categories to a question are shown on the vertical axis The small box inside the plot represents responses for half of all respondents This gives a measure of variability called the interquartile range (or midspread) The location of the line within the box indicates the median The dashed lines that extend from the top and bottom of the box are the whiskers Each whisker extends either the length of the box or to the most extreme observation in that direction An outlier is a value that lies outside the normal range of the data The plots are particularly useful for spotting outliers or comparing group categories (e.g., men vs women) PTS: REF: p 501 NAT: AACSB: Reflective Thinking| AACSB: Communication| AACSB: Technology © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part ... responses to two rating-scale questions are plotted in four quadrants of a two-dimensional table? a performance analysis b transformation analysis c quadrant analysis d median split analysis ANS:... these same attributes is known as a(n): a moderator analysis b contingency analysis c importance -performance analysis d index analysis ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 493 20

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