# BA 578 Practice Final

## BA 578 Practice Final

• Submitted By: justinstone
• Date Submitted: 03/21/2014 10:41 AM
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BA 578: Fall 2012

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Name: _______________________
ID: _______________________

FINAL EXAM
(i)
Scan your answer sheet and place it in ONE FILE at the drop - box.
(Preferable)
(ii)
Use MS-Word and place it in a drop-box.
*No One is allowed to use computer or any software, EXCEPT when instructed*
******Deadline: Monday 10th of December 2012 by noon******
**All work must be shown (step by step) in order to receive credit**

1. You are given the following data on sales (in tens of thousands of dollars) and
advertising expenditure (in thousands of dollars):
Sales, Y

31
5

40
11

25
3

30
4

20
3

a. Calculate the regression equation of sales on advertising expenditures.

26
5

BA 578: Fall 2012

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b. Construct a 95% confidence interval for the mean value of Y if X =9.

c. Use a 5% level of significance and test

BA 578: Fall 2012

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d. Predict sales if \$6,000 is spent on advertising.

e. Calculate a 95% confidence interval for the individual value of Y if X = 6.

2. Suppose a statistician obtained the following estimated regression model

where is a dummy variable indicating the gender of the ith individual and =1 if the
individual is a male. Suppose another statistician estimated the model using the same data
but defined
if the individual is female.
a. What would happen to the constant term?

BA 578: Fall 2012

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b. What would happen to the coefficient of

c. What would happen to the coefficient of

?

?

3. Fill in the missing values in following ANOVA table
Source
Factor
Error
Total

df
5

SS

MS
205.5

F

637
25

a. In the above ANOVA table, is the factor significant
at 5% level of significant?

4. Fill in the missing values in following ANOVA table
Source
Factor
Error
Total

df
2
17

SS

MS
3.24

40.98