2. The value of constant ‘e’ appearing in normal distribution is
Correct : C. 2.7183
3. In normal distribution
Correct : B. Mean = median = mode
4. The normal distribution curve is
Correct : B. not skewed
5. The shape of the normal curve is
Correct : A. Bell shaped
6. The area under a standard normal curve is
Correct : C. 1
7. The standard normal curve is symmetric about the value
Correct : A. 0
8. For a normal curve, the QD, MD and SD are in the ratio
Correct : D. 10:12:15
9. Under normal curve, the area enclosed by ‘ mean ± 2σ ’ is
Correct : B. 95.44%
10. If the Pearson correlation co-efficient R is equal to 1, then:
Correct : C. There is a perfect positive relationship between the two variables.
11. The study of the relationship between one variables and the combined effect of all other
variables is called
Correct : A. Multiple correlation
12. The estimation of correlation between yield of wheat and chemical fertilizers
eliminating the effect of pesticides and manures is an example of
Correct : B. Partial correlation
13. In regression analysis, the variable that is being predicted is the
Correct : A. Dependent variable
14. If two variables, x and y, have a very strong linear relationship, then
Correct : C. there might not be any causal relationship between x and y
15. A process by which we estimate the value of dependent variable on the basis of one or more
independent variables is called:
Correct : B. Regression
16. When all data points are falling along a straight line it is called:
Correct : D. Multiple relationship
17. The value we would predict for the dependent variable when the independent variables are all
equal to zero is called:
Correct : C. Intercept
18. The predicted rate of change of the dependent variable to changes in the independent variable
is called:
Correct : A. Slope
19. To measure ranked variables the following correlation coefficient is used
Correct : B. Spearman’s
20. Which of the following equation is used to describe linear relationship
Correct : D. y = a + bx
21. The geometric mean of the two regression coefficient βyx and βxy is equal to:
Correct : A. r
22. The estimate of β in the regression equation Y=α+βx+e by the method of least square is:
Correct : B. Unbiased
23. Regression coefficient is independent of
Correct : A. Value
24. If the two lines of regression are perpendicular to each other, the correlation coefficient r is:
Correct : A. 0
25. The range of a partial correlation coefficient is:
Correct : D. -1 to 1
26. Regression analysis:
Correct : C. Established the relationship between two variables
27. R2 is the mathematical notation for
Correct : C. The coefficient of determination
28. 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
Correct : B. 39% of the total variation is explained by the independent variable
29. The relationship between correlation coefficient and coefficient of determination is that
Correct : B. Coefficient of correlation is the square root of the coefficient of determination
30. Which of the following values could not represent a correlation coefficient?
Correct : D. r = 1.09
31. In the regression equation Y = 21 – 3x, the slope is
Correct : C. -3
32. 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
Correct : C. 0.5
33. In regression analysis, R is also called the
Correct : D. coefficient of determination
34. The coefficient of determination must be
Correct : C. between 0 and 1
35. The correlation coefficient is the of two regression coefficients:
Correct : A. Median
36. The coefficient of correlation for a problem was calculated to be 0.36. The coefficient of
determination for this would be
Correct : B. 0.13
37. If X and Y in a regression model are totally unrelated, then
Correct : D. The coefficient of coefficient would be 1
38. If the value of correlation coefficient between X and Y is ‘0’ then
Correct : C. Absence of Correlation between X and Y
39. In simple linear regression, the numbers of unknown constants are:
Correct : A. two
40. In simple regression equation, the numbers of variables involved are:
Correct : B. 2
41. If the value of any regression coefficient is zero, then two variables are:
Correct : C. Determinant
42. The straight line graph of the linear equation Y=a+ bX, will slope upward if:
Correct : C. b>0
43. The straight line graph of the linear equation Y=a+bX will slope downward if:
Correct : D. b = 1
44. If Y= 2 - 0.2X, then the value of Y intercept is equal to:
Correct : B. 2
45. The dependent variable in a regression is also called:
Correct : D. Regressand
46. The independent variable in a regression is also called:
Correct : A. Regressor
47. In the regression equation Y=a+bX, the Y is called:
Correct : B. Dependent variable
48. 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:
Correct : C. 0
49. In the straight line graph of the linear equation Y=a+bX, the slope is horizontal if:
Correct : D. b =0
50. Fisher's index number is the
Correct : D. Geometric mean of Paasche's index number and Laspeyres' index number
51. Which of the following is not a measurement of trend?
Correct : C. Method of composite straight lines
52. Which of the following is not a component of time series?
Correct : A. Regular variations
53. Which of the following is an ideal index number?
Correct : B. Fisher's index number
54. Laspeyres' index number may be said to give
Correct : A. Upper limit to the price change
55. In the measurement of trend, semi-average method is desired to be applied only when the
trend is
Correct : D. Linear or approximately linear
56. Laspeyres' index formula uses the weight of the
Correct : C. Base year
57. P0 indicates
Correct : B. Price of the base year
58. Base period for an index number should be a
Correct : A. Normal period
59. Index numbers are expressed in:
Correct : C. Percentages
60. Index for base period is always taken as:
Correct : B. 100
61. When index number is calculated for several variables, it is called:
Correct : A. Composite index
62. Purchasing power of money can be assessed through:
Correct : D. Consumer price index
63. The most appropriate average in averaging the price relatives is:
Correct : C. Geometric mean
64. What type of index number can help the government to formulate its price policies and to
take appropriate economic measures to control prices?
Correct : B. Consumer's Price Index
65. Fisher's ideal index number is the geometric mean of the:
Correct : B. Laspeyre's and Paasche's indices
66. An orderly set of data arranged in accordance with their time of occurrence is called:
Correct : C. Time series
67. The graph of time series is called:
Correct : D. Histogram
68. The secular trend is measured by the method of semi-averages when:
Correct : B. Trend is linear
69. Increase in the number of patients in the hospital due to heat stroke is:
Correct : C. Seasonal variation
70. The method of moving average is used to find the:
Correct : A. Secular trend
71. Moving average method is used for measurement of trend when:
Correct : A. Trend is linear
72. The long term trend of a time series graph appears to be:
Correct : C. Parabolic curve or third degree curve
73. Which of the following is an example of seasonal variations?
Correct : D. The sale of air condition increases during summer
74. The best fitting trend is one in which the sum of squares of residuals is:
Correct : B. Least
75. The rise and fall of a time series over periods longer than one year is called:
Correct : C. Cyclical variation
76. The difference between the actual value of the time series and the forecasted value is called:
Correct : A. Residual
77. The second degree parabola is fitted to the time series when the variations are:
Correct : A. Linear
78. The production of goods is decreasing, this stage is called:
Correct : D. Recession
79. A business cycle has:
Correct : C. Four stages
80. The four components of a time series are not necessarily
Correct : B. Mutually independent
81. If the period of moving average is equal to the period of the cycle, the smoothing is perfect
and we have
Correct : A. A straight line trend
82. A price relative is
Correct : C. A pure number
83. 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
Correct : C. Factor Reversal Test
84. Index numbers are useful only when data can be expressed in
Correct : B. Quantitative terms
85. Most of the time series relating to economic and business phenomena conform to the
Correct : D. Multiplicative model
86. In a multiplicative model the seasonal effects are expressed as
Correct : A. Percentage or Ratio
87. Which show the changes in the general price level of the country?
Correct : B. Wholesale price index numbers
88. The cost of living index number is essentially a