CONFIDENTIAL 1 CS/JUN 2023/STA104

UNIVERSITI TEKNOLOGI MARA

TEST (15%)

COURSE : INTRODUCTION TO STATISTICS

COURSE CODE : STA104
EXAMINATION : JUNE 2023
TIME : 1 HOUR 30 MINUTES
NAME :
STUDENT NUMBER :
GROUP :
LECTURER’S NAME :

INSTRUCTIONS TO CANDIDATES

1. This question paper consists of THREE (3) questions.

2. Answer ALL questions.

3. Do not bring any material into the examination room unless permission is given by
the invigilator.

4. Please check to make sure that this paper consists of

i) the Question Paper
ii) one page of formula list

QUESTION 1 2 3 TOTAL

/1 /4
MARKS
/16 /8 6 0

DO NOT TURN THIS PAGE UNTIL YOU ARE TOLD TO DO SO

This examination paper consists of 9 printed pages

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QUESTION 1

A leading merchant bank in Malaysia is studying the customers’ waiting time with respect to
the number of counters that are opened. Part of data collected is as follows:

Number of counters opened

2 2 3 3 4 4 4 5 5 6 6 7
Average waiting time (minutes)
18 16 16 12 8 10 6 4 6 3 4 3

a) Show by an appropriate measure that there exists a relationship between the number of
counters opened and the customers average waiting time. Explain the strength of the
relationship and give the type of relationship.
(5 marks)
b) Find the regression equation by using the least squares method.
(5 marks)
c) Explain the meaning of the slope obtained in the regression line.
(1 mark)
d) Find the minimum number of counters that should be opened if every customer is
served right away (customers do not have to wait).
(2 marks)
e) Calculate the coefficient of determination and explain its meaning.
(2 marks)
f) Estimate the average waiting time if only one counter is opened.
(1 mark)

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QUESTION 2

The price and quantities for three food items consumed by a family of four in 2020 and 2022
are shown in a table below
2020 2022
Item
Price (RM) Quantity Price (RM) Quantity
Rice (kg) 2.50 70 3.10 80
Flour (kg) 2.20 25 3.70 20
Cooking oil (5
19.90 12 29.90 20
kg)

Using 2020 as the base year.

a) Calculate the price relatives index for each food item and determine which food item had
the largest increase in price.
(4 marks)
b) Calculate the Paasche’s quantity index and explain the meaning of the value obtained
(4 marks)

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QUESTION 3
a) Explain the meaning of the following component in time series
i) Cyclical variation
ii) Seasonal variation
(2 marks)

b) The following table reports the number of television orders from TRIO Electrical
Appliance for January 2020 to December 2022

TERM
YEAR
1 (Jan – Apr) 2 (May – Aug) 3 (Sept – Dec)
2020 490 850 525
2021 560 900 640
2022 570 1020 750

i) Using the moving average method, find the trend values. Give your answer
correct to three decimal places.
(5 marks)
ii) Calculate the seasonal indices for each term. Hence, explain the meaning of
seasonal index for third term.
(6 marks)
iii) Forecast the number of television orders in second term of the year 2023
(3 marks)

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END OF QUESTION PAPER

FORMULA LIST
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Correlation and Regression

1. Pearson’s Product Moment Correlation Coefficient

or

2. The least square regression line of Y against X, Y = a+bX

or

or

Index Numbers

1. Laspeyres Price Index =

2. Paasche Price Index =

3. Simple Aggregate Price Index =

4. Weighted Aggregate Price Index =

Where
= price of the base year
= price of the current year
= quantity of the base year
= quantity of the current year
= weights

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