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Department
Management
Course
MGMT 1050
Professor
All Professors
Semester
Winter

Description
CHAPTER 5 DATA COLLECTION AND SAMPLING SECTIONS 1 MULTIPLE CHOICE QUESTIONS In the following multiple-choice questions, please circle the correct answer. 1. A marketing research firm, in conducting a comparative taste test, provided four types of wine to a sample of households randomly selected within the state. Which method of data collection is involved when people are asked to compare the four types of wine? a. Published sources b. Experimentation c. Surveying d. Direct observation ANSWER: b 2. Which of the following statements is correct in questionnaire design? a. The questionnaire should be kept as short as possible, and the questions themselves should also be kept short. b. A mixture of dichotomous, multiple-choice, and open-ended questions may be used. c. Leading questions must be avoided d. Allof the above ANSWER: d 117 118 Chapter Five 3. Air France Internet site provides a questionnaire instrument that can be answered electronically. Which method of data collection is involved when people complete the questionnaire? a. Published sources b. Experimentation c. Surveying d. Direct observation ANSWER: c 4. Which of the following must be avoided in designing a questionnaire? a. Dichotomous questions. b. Leading questions. c. Open-ended questions. d. Demographic questions. ANSWER: b 5. Which method of data collection is involved when a person records the use of the Chicago freeway system? a. Published sources b. Experimentation c. Surveying d. Direct observation ANSWER: d 6. The collection of data about persons or objects by deliberately exposing them to some kind of change, while leaving all else unchanged, and subsequently recording how identical persons or objects respond to different types of change (or how different types of persons or objects respond to identical change) is a. a controlled experiment b. an observational study c. a sample survey d. a complete survey or census ANSWER: a 7. A study attempted to estimate the proportion of Florida residents who were willing to spend more tax dollars on protecting the beaches from environmental disasters. Thirty- two hundred Florida residents were surveyed. Which type of data collection procedure was most likelyused to collect the data for this study ? a. A designed experiment. b. A published source. c. A random sample. d. An observational data. ANSWER: c Data Collection and Sampling 119 8. The personnel director at a large company studied the eating habits of the company’s employees. The director noted whether employees brought their own lunches to work, ate at the company cafeteria, or went out to lunch. The goal of the study was to improve the food service at the company cafeteria. This type of data collection would best be considered as a. an observational study. b. a designed experiment. c. a random sample. d. personal interview ANSWER: a 9. Which of the following statements is false? a. Many researchers feel that the best way to survey people is by means of a personal interview b. An important aspect of surveys is the response rate which is the proportion of all people who were selected and who completed the survey c. A telephone interview, which is a popular method of data collection, is usually very expensive but it has a high expected response rate d. None of the above ANSWER: c 10. Which of the following statements is false? a. The simplest method of data collection is by direct observation b. A self-administered questionnaire, which is usually mailed to a sample of people, is an expensive method of conducting a survey as is therefore less attractive when the number of people to be surveyed is large c. A personal interview has the advantage of having a higher expected response rate than other methods of data collection d. Whatever method is used to collect primary data, we need to know something about sampling ANSWER: b 120 Chapter Five TRUE / FALSE QUESTIONS 11. The simplest method of collecting data is by direct observation. ANSWER: T 12. “Wouldn’t you agree that foreign cars are better than American cars?” is an example of leading questions. ANSWER: T 13. A telephone interview is usually inexpensive method of data collection, but it is also less personal and has a lower expected response rate. ANSWER: T 14. Self-administered questionnaires usually have a high response rate and may have a relatively high number of correct responses. ANSWER: F 15. Multiple choice questionnaire design allows the respondent to freely formulate his or her own answer and expand on the subject of the question. ANSWER: F 16. In designing a questionnaire, demographic and open-ended questions must be avoided. ANSWER: F 17. The response rate of a survey is the proportion of all people who were selected but did not complete the survey. ANSWER: F 18. The only two reliable ways a researcher can make statistical inferences from a sample to a population is to use personal or telephone interviews. ANSWER: F 19. Because experimental data tend to be more reliable or “stronger” than survey data, most new data in economics, business, and many other fields, are generated by controlled experiments. ANSWER: F 20. A controlled experiment involves collecting data about persons or objects by deliberately exposing them to some kind of change, while leaving all else unchanged, and subsequently recording how identical persons or objects respond to different types of change, or how different types of persons or objects respond to identical change. ANSWER: T 21. An observational study involves collecting data about persons or objects by merely, recording information about selected characteristics of interest (such as A or B), while Data Collection and Sampling 121 paying no attention to possiblywidelydiverging other characteristics (such as C or D) that may affect the chosen characteristics. ANSWER: T 22. Open-ended questions provide an opportunity for respondents to express opinions more fully, but they are time-consuming and more difficult to tabulate and analyze. ANSWER: T 23. A respondent’s choice of yes or no to a question is an example of open-ended questions. ANSWER: F 122 Chapter Five STATISTICAL CONCEPTS & APPLIED QUESTIONS 24. Describe the difference between an observational study and an experimental study? ANSWER: In an observational study, there is no attempt to control factors that might influence the variable of interest. In an experimental study, a factor (such as regular use of fitness center) is controlled by randomly selecting who is exposed to that factor, thereby reducing the influence of other factors on the variable of interest. 25. Discuss brieflythree methods of conducting a survey of people. ANSWER: a. Personal interview: involves an interviewer soliciting information from a respondent by asking prepared questions. b. Telephone interview: involves soliciting information by calling people. This is usually less expensive, but it is also less personal and has a lower expected response rate. c. Self-administered survey: this is an inexpensive method of conducting a survey which is usually mailed to a sample of people, and is therefore attractive when the number of people to be surveyed is large. 26. Discuss brieflysix important points to consider when designing a questionnaire. ANSWER: a. The questionnaire should be kept as short as possible b. The questions themselves should also be short, as well as simply and clearly worded c. The questionnaire should begin with simple demographic questions to help respondents get started and become comfortable quickly d. The questionnaire designer should consider using a combination of dichotomous questions, multiple-choice questions, and open-ended questions e. Avoid using leading questions f. When preparing the questions, think about how you intend to tabulate and analyze the response 27. Discuss briefly the advantages and disadvantages of telephone interview as a method of data collection. ANSWER: Advantages: It is usuallyless expensive than other methods of data collection. Disadvantages: It is less personal, has a lower expected response rate, and many people willrefuse to respond to telephone surveys unless the issue is of interest to them. Data Collection and Sampling 123 28. Discuss briefly the advantages and disadvantages of personal interview as a method of data collection. ANSWER: Advantages: It has a higher expected response rate than other methods of data collection. In addition, there will probably be fewer incorrect responses resulting from respondents misunderstanding some questions, because the interviewer, if asked, can clarify misunderstandings. Disadvantages: It has the potential of response bias if the interviewer says too much whenever asked to clarify misunderstandings of some questions. The main disadvantage of personal interviews is that they are expensive, especiallywhen travel is involved. 29. Discuss briefly the advantages and disadvantages of self-administered survey as a method of data collection. ANSWER: Advantages: It is an inexpensive method of conducting a survey, since it is usually mailed to a sample of people, and is therefore attractive when the number of people to be surveyed is large. Disadvantages: Self-administered surveys usually have a low response rate and may have a relatively high number of incorrect responses due to respondents misunderstanding some questions. FOR QUESTIONS 30 AND 31, USE THE FOLLOWING NARRATIVE: Narrative: Beer A beer manufacturer has been supplying its beer in bottles to grocery stores and in cans to small convenience stores. The company is analyzing sales of this beer to determine which type of packaging is preferred by customers. 30. {Beer Narrative} Is this study observational or experimental? Explain. ANSWER: The study is observational. The statistics practitioner did not randomly assign stores to buy bottles or cans. 31. {Beer Narrative} Outline a better method for determining whether a store will be supplied with beer in bottles or in cans so that future sales data will be more helpful in assessing the preferred type of packaging. ANSWER: Randomlyassign some stores to receive onlycans and others to receive only bottles. FOR QUESTIONS 32 AND 33, USE THE FOLLOWING NARRATIVE: 124 Chapter Five Narrative: Smoking and Lung Cancer A medical researcher is interested in investigating the relationship between smoking and lung cancer. 32. {Smoking and Lung Cancer Narrative} Brieflydescribe how the researcher might design a study to investigate the relationship between smoking and lung cancer. ANSWER: Randomly sample smokers and nonsmokers and compute the proportion of each group that has lung cancer. 33. {Smoking and Lung Cancer Narrative} Is this study observational or experimental? Explain. ANSWER: The study is observational. Experimental data would require the medical researcher to randomly assign some people to smoke and others not to smoke. Data Collection and Sampling 125 SECTIONS 2 - 4 MULTIPLE CHOICE QUESTIONS In the following multiple-choice questions, please circle the correct answer. 34. The difference between a sample mean and the population mean is called: a. nonresponse error. b. selection bias. c. sampling error. d. nonsampling error. ANSWER: c 35. The manager of the customer service division of a major consumer electronics company is interested in determining whether the customers who have purchased a videocassette recorder made by the company over the past 12 months are satisfied with their products. If there are 4 different brands of videocassette recorders made by the company, the best sampling strategy would be to use a a. a simple random sample. b. a stratified sample. c. a cluster sample. d. a systematic sample. ANSWER: b 36. A pharmaceutical company interested in measuring how often physicians prescribe a certain drug has selected a simple random sample from each of two groups: M.D. (Medical Doctors) and D.O. (Doctors of Osteopathic). What is this type of sampling called? a. Simple random sampling. b. Cluster sampling. c. Stratified random sampling. d. None of the above. ANSWER: c 37. Which of the following is not a reason for the need for sampling? a. It is usuallytoo costly to study the whole population. b. It is usuallytoo time consuming to look at the whole population. c. It is sometimes destructive to observe the entire population. d. It is always more informative by investigating a sample than the entire population. ANSWER: d 126 Chapter Five 38. The manager of the customer service division of a major consumer electronics company is interested in determining whether the customers who have purchased a videocassette recorder made by the company over the past 12 months are satisfied with their products. If a customer survey questionnaire is included in all the videocassette recorders made and sold by the company over the last 12 months, this method of collecting data will most like suffer from a. nonresponse error(bias). b. measurement error. c. coverage error. d. non-probability sampling. ANSWER: a 39. When the population is divided into mutually exclusive sets, and then a simple random sample is drawn from each set, this is called: a. simple random sampling. b. stratified random sampling. c. cluster sampling. d. selection bias. ANSWER: b 40. Which of the following does not characterize stratified random sampling? a. The population is divided into strata that are distinct. b. The population is divided into strata that are mutually exclusive and exhaustive. c. The population is divided into strata that are homogenous. d. Nonrandom sampling is used. ANSWER: d 41. When every possible sample with the same number of observations is equally likely to be chosen, the selected sample is called: a. simple random sample. b. stratified sample c. cluster sample d. biased sample ANSWER: a 42. Which of the following is not a reason for drawing a sample? a. A sample is less time consuming than a census. b. A sample is less costly to administer than a census. c. A sample is usuallya good representation of the target population. d. A sample is less cumbersome and more practical to administer. ANSWER: c Data Collection and Sampling 127 43. Which of the following sampling methods is a random probabilitysample? a. Chunk sample b. Quota sample c. Stratified sample d. Judgment sample ANSWER: c 44. Which of the following types of samples can you use if you want to make statistical inferences from a sample to a population? a. A judgment sample b. A quota sample c. A chunk d. A probability sample such as cluster sample, stratified random sample, or simple random sample. ANSWER: d 45. Which of the following is an example of nonsampling errors? a. Errors that arise from the recording of incorrect responses. b. Errors that arise when responses are not obtained from some members of the sample. c. Errors that arise when some members of the target population cannot possibly be selected in the sample. d. Allof the above ANSWER: d 46. The dean of students mailed a survey to a total of 500 students. The sample included 125 students randomly selected from each of the freshman, sophomore, junior, and senior classes on campus last term. What sampling method was used? a. Simple random sample b. Systematic sample c. Stratified sa
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