The value of constant ‘e’ appearing in normal distribution is
A.
3.1416
B.
2.1783
C.
2.7183
D.
2.8317
Answer»
C. 2.7183
103.
In normal distribution
A.
Mean < median < mode
B.
Mean = median = mode
C.
Mean > median > mode
D.
Mean = median > mode
Answer»
B. Mean = median = mode
104.
The normal distribution curve is
A.
Positively skewed
B.
not skewed
C.
negatively skewed
D.
None of the above
Answer»
B. not skewed
105.
The shape of the normal curve is
A.
Bell shaped
B.
Flat
C.
Circular
D.
Spiked
Answer»
A. Bell shaped
106.
The area under a standard normal curve is
A.
0
B.
∞
C.
1
D.
Not defined
Answer»
C. 1
107.
The standard normal curve is symmetric about the value
A.
0
B.
∞
C.
1
D.
1.5
Answer»
A. 0
108.
For a normal curve, the QD, MD and SD are in the ratio
A.
1:2:3
B.
5:6:7
C.
9:10:11
D.
10:12:15
Answer»
D. 10:12:15
109.
Under normal curve, the area enclosed by ‘ mean ± 2σ ’ is
A.
68.26%
B.
95.44%
C.
99.73%
D.
100%
Answer»
B. 95.44%
Chapter: Correlation and Regression
110.
If the Pearson correlation co-efficient R is equal to 1, then:
A.
there is a positive relationship between the two variables.
B.
there is a negative relationship between the two variables.
C.
There is a perfect positive relationship between the two variables.
D.
there is no relationship between the two variables.
Answer»
C. There is a perfect positive relationship between the two variables.
111.
The study of the relationship between one variables and the combined effect of all other
variables is called
A.
Multiple correlation
B.
Total correlation
C.
Partial correlation
D.
Simple correlation
Answer»
A. Multiple correlation
112.
The estimation of correlation between yield of wheat and chemical fertilizers
eliminating the effect of pesticides and manures is an example of
A.
Simple correlation
B.
Partial correlation
C.
Total correlation
D.
Multiple correlation
Answer»
B. Partial correlation
113.
In regression analysis, the variable that is being predicted is the
A.
Dependent variable
B.
Independent variable
C.
Indeterminate variable
D.
Combine variable
Answer»
A. Dependent variable
114.
If two variables, x and y, have a very strong linear relationship, then
A.
there is evidence that x causes a change in y
B.
there is evidence that y causes a change in x
C.
there might not be any causal relationship between x and y
D.
None of the above
Answer»
C. there might not be any causal relationship between x and y
115.
A process by which we estimate the value of dependent variable on the basis of one or more
independent variables is called:
A.
Correlation
B.
Regression
C.
Residual
D.
Deviation
Answer»
B. Regression
116.
When all data points are falling along a straight line it is called:
A.
Linear relationship
B.
Non-linear relationship
C.
Scatter diagram
D.
Multiple relationship
Answer»
D. Multiple relationship
117.
The value we would predict for the dependent variable when the independent variables are all
equal to zero is called:
A.
Slope
B.
Sum of residual
C.
Intercept
D.
Origin
Answer»
C. Intercept
118.
The predicted rate of change of the dependent variable to changes in the independent variable
is called:
A.
Slope
B.
Intercept
C.
Error
D.
Constant
Answer»
A. Slope
119.
To measure ranked variables the following correlation coefficient is used
A.
Pearson’s
B.
Spearman’s
C.
Fisher’s
D.
Marshall-Edgeward
Answer»
B. Spearman’s
120.
Which of the following equation is used to describe linear relationship
A.
y = a + bx2
B.
y = ax2 + b
C.
y = ax3 + b
D.
y = a + bx
Answer»
D. y = a + bx
121.
The geometric mean of the two regression coefficient βyx and βxy is equal to:
A.
r
B.
r 2
C.
1
D.
2
Answer»
A. r
122.
The estimate of β in the regression equation Y=α+βx+e by the method of least square is:
A.
Biased
B.
Unbiased
C.
Consistent
D.
Constant
Answer»
B. Unbiased
123.
Regression coefficient is independent of
A.
Value
B.
Scale
C.
Both Origin and Scale
D.
Origin
Answer»
A. Value
124.
If the two lines of regression are perpendicular to each other, the correlation coefficient r is:
A.
0
B.
1
C.
-1
D.
2
Answer»
A. 0
125.
The range of a partial correlation coefficient is:
A.
0 to 1
B.
-1 to 0
C.
0 to ∞
D.
-1 to 1
Answer»
D. -1 to 1
126.
Regression analysis:
A.
Measures the demand for goods
B.
Measures growth
C.
Established the relationship between two variables
D.
Estimate the value of variables
Answer»
C. Established the relationship between two variables
127.
R2 is the mathematical notation for
A.
The coefficient of variation
B.
Pearson’s co-efficient of correlation
C.
The coefficient of determination
D.
The coefficient of Alienation
Answer»
C. The coefficient of determination
128.
Let the coefficient of determination computed to be 0.39 in a problem involving one independent variable and one dependent variable. This result means that
A.
The correlation coefficient is 0.39 also
B.
39% of the total variation is explained by the independent variable
C.
39% of the total variation is explained by the dependent variable
D.
Rank correlation coefficient is 0.61
Answer»
B. 39% of the total variation is explained by the independent variable
129.
The relationship between correlation coefficient and coefficient of determination is that
A.
Both are unrelated
B.
Coefficient of correlation is the square root of the coefficient of determination
C.
The coefficient of determination is the square root of the coefficient of correlation
D.
The coefficient of determination is the coefficient of correlation squared
Answer»
B. Coefficient of correlation is the square root of the coefficient of determination
130.
Which of the following values could not represent a correlation coefficient?
A.
r = 0.99
B.
r = 0.02
C.
r = -0.73
D.
r = 1.09
Answer»
D. r = 1.09
131.
In the regression equation Y = 21 – 3x, the slope is
A.
21
B.
3
C.
-3
D.
18
Answer»
C. -3
132.
If covariance of X and Y is 20, the standard deviation of X is 8 and standard deviation of Y is 5 then the value of coefficient of correlation is
A.
1.5
B.
1
C.
0.5
D.
0.25
Answer»
C. 0.5
133.
In regression analysis, R is also called the
A.
residual
B.
coefficient of correlation
C.
Coefficient of variation
D.
coefficient of determination
Answer»
D. coefficient of determination
134.
The coefficient of determination must be
A.
between -1 and +1
B.
between -1 and 0
C.
between 0 and 1
D.
Between 1 and 2
Answer»
C. between 0 and 1
135.
The correlation coefficient is the of two regression coefficients:
A.
Median
B.
Arithmetic mean
C.
Harmonic mean
D.
Geometric mean
Answer»
A. Median
136.
The coefficient of correlation for a problem was calculated to be 0.36. The coefficient of
determination for this would be
A.
0.72
B.
0.13
C.
0.36
D.
1
Answer»
B. 0.13
137.
If X and Y in a regression model are totally unrelated, then
A.
The correlation coefficient would be -1
B.
The coefficient of determination would be o
C.
The coefficient of determination would be 1
D.
The coefficient of coefficient would be 1
Answer»
D. The coefficient of coefficient would be 1
138.
If the value of correlation coefficient between X and Y is ‘0’ then
A.
Positive correlation between X and Y
B.
Negative correlation between X and Y
C.
Absence of Correlation between X and Y
D.
Perfectly positive correlation between X and Y
Answer»
C. Absence of Correlation between X and Y
139.
In simple linear regression, the numbers of unknown constants are:
A.
two
B.
three
C.
four
D.
five
Answer»
A. two
140.
In simple regression equation, the numbers of variables involved are:
A.
1
B.
2
C.
3
D.
4
Answer»
B. 2
141.
If the value of any regression coefficient is zero, then two variables are:
A.
Correlation
B.
Dependent
C.
Determinant
D.
Independent
Answer»
C. Determinant
142.
The straight line graph of the linear equation Y=a+ bX, will slope upward if:
A.
b=0
B.
b<0
C.
b>0
D.
b = -1
Answer»
C. b>0
143.
The straight line graph of the linear equation Y=a+bX will slope downward if:
A.
b > 0
B.
b<0
C.
b = 0
D.
b = 1
Answer»
D. b = 1
144.
If Y= 2 - 0.2X, then the value of Y intercept is equal to:
A.
-0.2
B.
2
C.
0.2X
D.
1.08
Answer»
B. 2
145.
The dependent variable in a regression is also called:
A.
Regressor
B.
Constant variable
C.
Continuous variable
D.
Regressand
Answer»
D. Regressand
146.
The independent variable in a regression is also called:
A.
Regressor
B.
Regressand
C.
Predictand
D.
Determinat
Answer»
A. Regressor
147.
In the regression equation Y=a+bX, the Y is called:
A.
Independent variable
B.
Dependent variable
C.
Continuous variable
D.
Constant variable
Answer»
B. Dependent variable
148.
If the points on the scatter diagram show no tendency either to increase together or decrease together the value of r will be close to:
A.
-1
B.
+1
C.
0
D.
2
Answer»
C. 0
149.
In the straight line graph of the linear equation Y=a+bX, the slope is horizontal if:
A.
b=-1
B.
b≠0
C.
b=1
D.
b =0
Answer»
D. b =0
Chapter: Time series and Index Number
150.
Fisher's index number is the
A.
Arithmetic mean of Paasche's index number and Laspeyres' index number
B.
Harmonic mean of Paasche's index number and Laspeyres' index number
C.
Average mean of Paasche’s index number and Laspeyres’ index number
D.
Geometric mean of Paasche's index number and Laspeyres' index number
Answer»
D. Geometric mean of Paasche's index number and Laspeyres' index number
151.
Which of the following is not a measurement of trend?
A.
Graphic method
B.
Method of moving averages
C.
Method of composite straight lines
D.
Method of semi-averages
Answer»
C. Method of composite straight lines
152.
Which of the following is not a component of time series?
A.
Regular variations
B.
Seasonal variations
C.
Irregular variations
D.
Cyclical variations
Answer»
A. Regular variations
153.
Which of the following is an ideal index number?
A.
Paasche's index number
B.
Fisher's index number
C.
Laspeyres' index number
D.
Marshall-Edgeworth index number
Answer»
B. Fisher's index number
154.
Laspeyres' index number may be said to give
A.
Upper limit to the price change
B.
Lower limit to the price change
C.
Demand limit to the price change
D.
Supply limit to the price change
Answer»
A. Upper limit to the price change
155.
In the measurement of trend, semi-average method is desired to be applied only when the
trend is
A.
Convex and semi-convex
B.
Non-linear
C.
Quadratic and concave
D.
Linear or approximately linear
Answer»
D. Linear or approximately linear
156.
Laspeyres' index formula uses the weight of the
A.
Previous year
B.
Current year
C.
Base year
D.
Next year
Answer»
C. Base year
157.
P0 indicates
A.
Price of the current year
B.
Price of the base year
C.
Price of the last year
D.
Price of previous year
Answer»
B. Price of the base year
158.
Base period for an index number should be a
A.
Normal period
B.
Year only
C.
Period at distant past
D.
Next year
Answer»
A. Normal period
159.
Index numbers are expressed in:
A.
Ratios
B.
Squares
C.
Percentages
D.
Margin
Answer»
C. Percentages
160.
Index for base period is always taken as:
A.
One
B.
100
C.
Zero
D.
1000
Answer»
B. 100
161.
When index number is calculated for several variables, it is called:
A.
Composite index
B.
Whole sale price index
C.
Simple index
D.
Price index
Answer»
A. Composite index
162.
Purchasing power of money can be assessed through:
A.
Simple index
B.
Fisher’s index
C.
Composite index
D.
Consumer price index
Answer»
D. Consumer price index
163.
The most appropriate average in averaging the price relatives is:
A.
Harmonic mean
B.
Arithmetic mean
C.
Geometric mean
D.
Median
Answer»
C. Geometric mean
164.
What type of index number can help the government to formulate its price policies and to
take appropriate economic measures to control prices?
A.
Wholesale Price Index
B.
Consumer's Price Index
C.
Volume Index Number
D.
Composite index
Answer»
B. Consumer's Price Index
165.
Fisher's ideal index number is the geometric mean of the:
A.
Laspeyre's and Marshall Edgeworth indices
B.
Laspeyre's and Paasche's indices
C.
Paasche's and Marshal Edgeworth indices
D.
Square root of Laspeyre’s
Answer»
B. Laspeyre's and Paasche's indices
166.
An orderly set of data arranged in accordance with their time of occurrence is called:
A.
Arithmetic series
B.
Geometric series
C.
Time series
D.
Random series
Answer»
C. Time series
167.
The graph of time series is called:
A.
Polygon
B.
Frequency curve
C.
Ogive
D.
Histogram
Answer»
D. Histogram
168.
The secular trend is measured by the method of semi-averages when:
A.
Time series based on yearly values
B.
Trend is linear
C.
Time series consists of even number of values
D.
Trend is non-linear
Answer»
B. Trend is linear
169.
Increase in the number of patients in the hospital due to heat stroke is:
A.
Secular trend
B.
Irregular variation
C.
Seasonal variation
D.
Regular variation
Answer»
C. Seasonal variation
170.
The method of moving average is used to find the:
A.
Secular trend
B.
Seasonal variation
C.
Cyclical variation
D.
Irregular variation
Answer»
A. Secular trend
171.
Moving average method is used for measurement of trend when:
A.
Trend is linear
B.
Trend is non linear
C.
Trend is curvilinear
D.
Trend is irregular
Answer»
A. Trend is linear
172.
The long term trend of a time series graph appears to be:
A.
Straight-line
B.
Upward
C.
Parabolic curve or third degree curve
D.
Downward
Answer»
C. Parabolic curve or third degree curve
173.
Which of the following is an example of seasonal variations?
A.
Death rate decreased due to advance in science
B.
Birth rate increased due to invention of new medicine
C.
Sudden increase in death rates caused by wars
D.
The sale of air condition increases during summer
Answer»
D. The sale of air condition increases during summer
174.
The best fitting trend is one in which the sum of squares of residuals is:
A.
Negative
B.
Least
C.
Zero
D.
high
Answer»
B. Least
175.
The rise and fall of a time series over periods longer than one year is called:
A.
Seasonal variation
B.
Irregular variation
C.
Cyclical variation
D.
Moving average
Answer»
C. Cyclical variation
176.
The difference between the actual value of the time series and the forecasted value is called:
A.
Residual
B.
Sum of variation
C.
Sum of squares of residual
D.
Total of square variation
Answer»
A. Residual
177.
The second degree parabola is fitted to the time series when the variations are:
A.
Linear
B.
Nonlinear
C.
Random
D.
Semi-linear
Answer»
A. Linear
178.
The production of goods is decreasing, this stage is called:
A.
Recovery
B.
Boom
C.
Prosperity
D.
Recession
Answer»
D. Recession
179.
A business cycle has:
A.
Two stages
B.
Three stages
C.
Four stages
Answer»
C. Four stages
180.
The four components of a time series are not necessarily
A.
Mutually dependent
B.
Mutually independent
C.
Equilibrium
D.
Not equilibrium
Answer»
B. Mutually independent
181.
If the period of moving average is equal to the period of the cycle, the smoothing is perfect
and we have
A.
A straight line trend
B.
A reverse trend
C.
A circle line trend
D.
A curvature line trend
Answer»
A. A straight line trend
182.
A price relative is
A.
An imaginary number
B.
A complex number
C.
A pure number
D.
None of these
Answer»
C. A pure number
183.
The product of the index number by another index number based on the same data with price and quantity interchanged should be equal to the ratio of aggregate value in the current to the aggregate value in the base year is
A.
Time reversal test
B.
Circular test
C.
Factor Reversal Test
D.
Test of proportionality
Answer»
C. Factor Reversal Test
184.
Index numbers are useful only when data can be expressed in
A.
Qualitative terms
B.
Quantitative terms
C.
Percentage
D.
Descending order
Answer»
B. Quantitative terms
185.
Most of the time series relating to economic and business phenomena conform to the
A.
Additive model
B.
Mixed model
C.
Percentage model
D.
Multiplicative model
Answer»
D. Multiplicative model
186.
In a multiplicative model the seasonal effects are expressed as
A.
Percentage or Ratio
B.
Percentage or Square root
C.
Square root or Ratio
D.
Ratio or Variation
Answer»
A. Percentage or Ratio
187.
Which show the changes in the general price level of the country?
