# MGMT 650 Fall 2016 Problem Set 5

MGMT 650 Fall 2016 Problem Set 51.UMUC wants to use a new tutorial to teach the studentsabout business ethics. As an experiment the administratorrandomly selected 15 students and randomly assigned themto one of three groups which include either a PowerPointpresentation created by the faculty, AuthorGen Presentationcreated by the faculty, or a well known tutorial by the ABCcompany. After completing their assigned tutorial, thestudents are given a Business Ethics test. At the .01significance level, can UMUC conclude that there is adifference between how well the different tutorials work forthe students?Note: (Here is a good website where you can find the f tablefor significance level .01http://www.socr.ucla.edu/Applets.dir/F_Table.html#FTable0.01)PowerPoint Tutorial(X1)6885918788 AuthorGen ABCTutorialTutorial(X2)(X3)79758683827892869181 2.Graph each set of data and determine if there is acorrelation and how strong it is. State if that relationship isnegative or positive.a. Highest Grossing movies and the year they werereleased.$2,186.80 1997 $2,068.20 2015 $1,670.40 2015 $1,519.60 2012 $1,516.00 2015 $1,405.40 2015 $1,341.50 2011 $1,276.50 2013 $1,215.40 2013 $1,159.40 2015 $1,151.10 2016 $1,123.80 2011 $1,119.90 2003 $1,108.60 2012 $1,104.10 2014 $1,084.90 2012 $1,066.20 2006 $1,063.20 2010 $1,045.70 2011 $1,029.20 1993 $1,027.00 1999 $1,025.50 2010 $1,022.60 2016 $1,021.10 2012 $1,004.60 2008 $974.80 2001 $970.80 2013 $968.50 1994 $963.40 2007 $960.30 2010 $958.40 2013 $956.00 2014 $939.90 2007 $937.90 2016 $936.70 2003 $934.40 2009 $926.00 2002 $919.80 2004 $896.90 2005 $890.90 2007 $886.70 2009 $880.70 2015 $879.00 2002 $877.20 2012 $872.70 2016 $871.50 2001 $865.00 2013 $857.40 2015 $848.80 2005 $836.30 2009 $829.70 2012 $825.50 2010 $821.70 2002 $817.40 1996 $799.00 2007 $796.70 2004 $792.90 1982 $788.70 2013 $786.60 2008 $783.80 2004 $782.40 2016 $775.40 1977 $773.30 2014 $769.70 2009 $758.50 2014 $758.20 2006 $757.90 2012 $755.40 2014 $752.60 2010 $747.90 2014 $746.90 2012 $745.00 2005 $743.60 2013 $742.10 2003 $731.30 2009 $727.60 2016 $723.20 2013 $714.40 2014 $712.20 2011 $710.60 2014 $709.70 2009 $709.70 2007 $709.00 2014 $698.50 2010 $694.70 2011 $694.40 2012 $682.30 2015 $677.90 1994 $675.10 2014 $672.80 1999 $668.00 2013 $665.70 2011 $660.90 2006 $657.80 2014 $654.30 2003 $653.40 2015 $649.40 2002 $644.60 2013 $631.70 2008 b. Hours studied and test grade3526712717 759075809050658540100 26715553395625238456 7085857080858050609575805065407080756095 c. Humidity level and time spent outside50%40%70%20%90%30%70%30%20%30%40%10%90%70%80%50%70%40% 670.54.50.2545.5222.752.758.512.21.531.254 30%20%20%70%70%80%50% 3.75652.5214 3.ASPCA wanted to find out if there was a relationshipbetween the type of animals preferred and the gender of theowner. They gathered data from 50 randomly chosen petowners who owned either one cat or one dog:genderfemalemalemalemalefemalefemalefemalefemalemalefemalefemalemalemalemalefemalefemalefemalefemalefemalemalemalemalemalemalefemale typecatdogdogdogcatcatdogcatdogdogdogdogcatcatdogcatcatcatdogcatdogcatdogdogdog gendermalefemalemalefemalefemalefemalemalemalemalemalemalefemalefemalemalefemalefemalemalefemalemalefemalemalefemalemalemalemale typecatcatcatdogcatdogcatdogdogdogcatdogcatdogcatcatcatcatdogdogcatdogcatcatdog Use Excel’s capabilities to create a pivot table that shows thenumber of pets owned by each gender.4….e the pivot table from problem 1 to find the ChiSquare value and give the interpretation based on a .01significance level. Is there are relationship between the sexof the owner and the type of pet they prefer?Here is a website with a chi square table:http://sites.stat.psu.edu/~mga/401/tables/Chi-squaretable.pdf5.A human resources director wants to find out if there isa pattern with the day of the week and the number of timesemployees were sick on that day. She tallied the number oftimes 60 employees were absent on these days:Monday: 12Tuesday: 9Wednesday: 11Thursday: 10Friday: 9Saturday: 9Using a significance level of .05:a)b)c)d)e) What is the null and alternative hypotheses?What is the chi square value for this scenario?What is the critical value of chi square ?Find the p value.Is there evidence to suggest that some employeesare more likely to be sick on certain days of theweek? 6.A CEO of a large pharmaceutical company would like todetermine if he should be placing more money allotted in the budget next year for television advertising of a new drugmarketed for controlling asthma. He wonders whether thereis a strong relationship between the amount of money spenton television advertising for this new drug called XBC andthe number of orders received. The manufacturing processof this drug is very difficult and requires stability so the CEOwould prefer to generate a stable number of orders. The costof advertising is always an important consideration in thephase I roll-out of a new drug. Data that have been collectedover the past 20 months indicate the amount of moneyspent of television advertising and the number of ordersreceived.The use of linear regression is a critical tool for a manager’sdecision-making ability. Please carefully read the examplebelow and try to answer the questions in terms of theproblem context. Here are the results of the data collection. Month Advertising cost (inthousands) 123456789101112131415161718 $68.9372.6279.5858.6769.1870.1483.3768.8882.9975.2381.3852.961.2779.1980.0378.2183.7762.53 # oforders 4,902,0003,893,0005,299,0004,130,0004,367,0005,111,0003,923,0004,935,0005,276,0004,654,0004,598,0002,967,0003,999,0004,345,0004,934,0004,653,0005,625,0003,978,000 1920 88.7672.64 4,999,0005,834,000 a) Set up a scatter diagram and calculate the associatedcorrelation coefficient. Discuss how strong you think therelationship is between the amount of money spent ontelevision advertising and the number of orders received.Please use the Scatterplot and Correlation procedureswithin Excel under Tools > Data Analysisb) Is there a statistically significant relationship between thetwo variables at alpha = .05? How do you know?c) What is the regression equation?d) Interpret the meaning of the slope, b1, in the regression.e) Predict the monthly advertising cost when the # oforders is 5,100,000.f) Compute the coefficient of determination, Rsquare, andinterpret its meaning.g) Compute the standard error of estimate, and interpret itsmeaning.