# MGEB12H3 Study Guide - Midterm Guide: Academic Dishonesty, Scantron Corporation, HeteroscedasticityExam

by OC2447826

Department

Economics for Management StudiesCourse Code

MGEB12H3Professor

ATA Study Guide

MidtermThis

**preview**shows pages 1-3. to view the full**40 pages of the document.**MGEB12 – Quantitative Methods in Economics-II

Winter 2019

Test-2 (Solutions)

Instructor: A. Mazaheri

Instructions: This is a closed book test. A formula sheet is attached. You are allowed the use

of a calculator.

Write your full name and your student ID # on both this test book as well as the

Scantron paper.

You have 105 Minutes.

Notes: If you write with pencil, you will not be able to ask for regrade.

Good Luck!

Last

Name:

First

Name:

ID

FOR MARKERS ONLY:

The University of Toronto's Code of Behaviour on Academic Matters applies to all

University of Toronto Scarborough students. The Code prohibits all forms of

academic dishonesty including, but not limited to, cheating, plagiarism, and the use of

unauthorized aids. Students violating the Code may be subject to penalties up to and

including suspension or expulsion from the University.

MC

Q#1

Q#2

Total

Marks Earned

Maximum Marks

Possible 64 16 20 100

Only pages 1-3 are available for preview. Some parts have been intentionally blurred.

Page 2 of 40

Part A (Long Questions)

Question-1 (16 Points) Answer the following two separate parts:

Males and females were asked about what they would do if they received a $100 bill by

mail, addressed to their neighbor, but wrongly delivered to them. Would they return it to

their neighbor? The results are shown below.

Male Female

n1 = 69 n2 = 131

Yes, would return = 52 Yes, would return = 120

We are interested in determining if the “female” proportion of returning the bill is 5%

more than that of “males”.

a) [6 Points] First setup the hypothesis, then find the p-value of the test. In a maximum

of three sentences interpret the p-value and make a conclusion (inference).

Solution:

:

:

=120

131 = 0.916,

=52

69 = 0.754

:=5%

:5%

=(

)()

1

1

=(0.916 0.754)0.05

0.916(10.916)

131 0.754(10.754)

69 1.963

= 2[PZ > 1.963)] 5%

The p-value is around 5% which indicate a strong (to moderate) evidence to reject

the null. There is strong to moderate evidence in favor of rejecting null. 5% more

Females return the bill!

Only pages 1-3 are available for preview. Some parts have been intentionally blurred.

Page 3 of 40

b (10 points) A study on the time UTSC students spend playing sports each weak is done

and data are collected and summarized in the following. (Note: Both populations are

assumed to be normally distributed.)

Male

Female

Sample size

n1 = 31

n2 = 21

Sample mean (hours)

= 5

= 4.6

Sample standard deviation

S1 = 0.912

S2 = 1.1

b1(5 Points) Test at 5% if these two populations have similar variances. (Make sure to set

up the null and alternative hypothesis before you perform your test)

Solution:

2

1

2

20

:

σσ

=H

vs.

2

2

2

11

#:

σσ

H

, =1.1

0.912= 1.455

Rejection region: F > F2.5%, 20, 30 = 2.2

Conclusion: Cannot reject the null hypothesis. Cannot conclude at 5% that the variances

are different.

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