NAME: DEEPAK KUMAR SINGH

STUDENT REG. NO. 1708004923

DRIVE FALL 2017

PROGRAM MBA

SEMESTER I

SUBJECT CODE & NAME MBA103 - Statistics for Management

BK ID B1731

CREDITS 4

MARKS 30 MARKS EACH

Answer:

In statistics, one-way analysis of variance, also called one-way ANOVA, is a technique that can be used to compare means of two or more
samples. The ANOVA tests the null hypothesis that samples in all groups are drawn from populations with the same mean values.

2. The two-way analysis of variance (ANOVA) is an extension of the one-way ANOVA that examines the influence of two different
categorical independent variables on one continuous dependent variable.

3. Manifold Classification - If a population is divided into a number of mutually exclusive classes according to some given characteristic and
then each class is divided by reference to some second, third, etc. characteristic, the final grouping is called a manifold classification.

Q.2. What do you mean by Statistical Averages? List various requisites of a Good Average

Answer:

Since an average is a single value representing a group of values, it is desired that such a value satisfies the following properties:

(i) It should be easy to understand.

(ii) It should be simple to compute.

Not only an average should be easy to understand but also it should be simple to compute so that it can be used widely. However, though
ease of computation is desirable is should not be sought at the expense of the other advantages, i.e., if in the interest of greater accuracy, use
of a more difficult average is desirable, one should prefer that.

(iii) It should be based on all the items.

The average should depend upon each and every item of the series so that if any of the items is dropped the average itself is altered.

(iv) It should not be unduly affected by extreme observations.

Although each and every item should influence the value of the average, none of the items should influence it unduly. If one or two very
small or very large items unduly affect the average, i.e., either increase its value or reduce its value, the average cannot be really typical of
the entire series. In other words. Extremes may distort the average and reduce its usefulness.

(v) It should be rigidly defined.

An average should be properly defined so that it has one and only one interpretations. It should preferably be defined by an algebraic formula
so that if different people compute that average from the same figures they all get the same answer (barring arithmetical mistakes). The
average should not depend upon the personal prejudice and bias of the investigator; otherwise the results can be manipulated.

(vi) It should be capable of further algebraic treatment.

We should prefer to have an average that could be used for further statistical computations so that its utility is enhanced.

(vii) It should have sampling stability.

Last, but not the least, we should prefer to get a value which has what the statisticians call ‘sampling stability’ This means that if we pick 10
different groups of college students, and compute the average of each group, we should expect to get approximately the same value. It does
 not mean, however, that there can be no difference in the values of different samples. There may be some difference but those samples in
which this difference (technically called sampling fluctuation) is less are considered better than those in which this difference is more.

Q.3. In a beauty contest, the ranks provided by three different judges to 10 competitors are given in following table. Find out which pair
of judges are more associated in term of same pattern for ranking Competitors A B C D E F G H I J Judge 1 3 4 6 7 9 8 2 10 1 5 Judge 2
4 5 6 8 7 10 1 9 2 3 Judge 3 5 7 9 8 10 6 3 4 1 2

Answer:

With a view to find out the Rank Correlation between all the 3 judges we will have to find the correlation between the following:
(i) 1st and 2nd judge
(ii) 1st and

Assignment Set 2

Q.1. Write short notes on

a. Type I and Type II error b. Level of Significance c. Null Hypothesis d. Two–tailed Tests and One–tailed Tests e. Test Statistics

Answer:

Type I and Type II error

Type I errors happen when we reject a true null hypothesis.

Type II errors happen when we fail to reject a false null hypothesis.

the probability of rejecting the null hypothesis in a statistical test when it is true — called also significance level

null hypothesis

The null hypothesis states that there is no association between the predictor and outcome variables in the population (There is no difference
between tranquilizer habits of patients with attempted suicides and those of age- and sex- matched “control” patients hospitalized for other
diagnoses). The null hypothesis is the formal basis for testing statistical significance. By starting with the proposition that there is no
association, statistical tests can estimate the probability that an observed association could be due to chance.

A one-tailed and two tailed

A one-tailed (or one-sided) hypothesis specifies the direction of the association between the predictor and outcome variables. The prediction
that patients of attempted suicides will have a higher rate of use of tranquilizers than control patients is a one-tailed hypothesis. A two-tailed
hypothesis states only that an association exists; it does not specify the direction. The prediction that patients with attempted suicides will
have a different rate of tranquilizer use either higher or lower than control patients —is a two-tailed hypothesis. (The word tails refers to the
tail ends of the statistical distribution such as the familiar bell-shaped normal curve that is used to test a hypothesis. One tail represents a
positive effect or association; the other, a negative effect.) A one-tailed hypothesis has the statistical advantage of permitting a smaller
sample size as compared to that permissible by a two-tailed hypothesis. Unfortunately, one-tailed hypotheses are not always appropriate; in
fact, some investigators believe that they should never be used. However, they are appropriate when only one direction for the association is
important or biologically meaningful. An example is the one-sided hypothesis that a drug has a greater frequency of side effects than a
placebo; the possibility that the drug has fewer side effects than the placebo is not worth testing. Whatever strategy is used, it should be
stated in advance; otherwise, it would lack statistical rigor. Data dredging after it has been collected and post hoc deciding to change over to
one-tailed hypothesis testing to reduce the sample size and P value are indicative of lack of scientific integrity.

Test statistic

A test statistic measures the degree of agreement between a sample of data and the null hypothesis. Its observed value changes randomly
from one random sample to a different sample. A test statistic contains information about the data that is relevant for deciding whether to
reject the null hypothesis.
Q.2. Marks of 10 students out of 150 is given below 60, 110, 120, 135,110, 96, 145, 55, 95 & 125 What is the average marks of a class,
Calculate by direct & shortcut methods?

Answer:

Direct method

Q.3. Production for last 7 years of XYZ ltd is given in following table Year 2009 2010 2011 2012 2013 2014 2015 Production(in Tons)
8 12 13 17 25 22 30 Based on above data forecast the production for year 2016 & 2017

Answer:

A Fitting of straight line

Production for year 2016

Production for year 2017

Answer: The trend line can be fitted by using the method of least squares for the