Chap12 - for testing what you have studied in chapter 12 PDF

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Marketing Research: An Applied Orientation, 6e (Malhotra) Chapter 12 Sampling: Final and Initial Sample Size Determination 1) The confidence level is the range into which the true population parameter will fall, assuming a given level of confidence. Answer: FALSE Diff: 2 Page Ref: 373 LO : 1 2) The confidence level is the probability that a confidence interval will include the population parameter. Answer: TRUE Diff: 1 Page Ref: 373 LO : 1 3) The sampling distribution is the probability of the values of a sampling statistic computed for each possible sample that could be drawn from the target population under a specified sampling plan. Answer: FALSE Diff: 2 Page Ref: 373 LO : 2 4) The process of generalizing the sample results to the population results is called statistical inference. Answer: TRUE Diff: 2 Page Ref: 373 LO : 2 5) The concept of a sampling distribution enables us to use probability theory to make inferences about the population values. Answer: TRUE Diff: 2 Page Ref: 373 LO : 2 6) The sampling distribution of the mean is a binomial distribution. Answer: FALSE Diff: 1 Page Ref: 373 AACSB: Analytic Skills LO : 2 7) The z value for a point is the number of standard deviations a point is away from the mean. Answer: FALSE Diff: 2 Page Ref: 374 AACSB: Analytic Skills LO : 2

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8) Assuming no measurement error, the reliability of an estimate of a population parameter can be assessed in terms of its standard error. Answer: TRUE Diff: 2 Page Ref: 374 AACSB: Analytic Skills LO : 3 9) When the sample size is 10 percent or more of the population size, the standard error formulas will overestimate the standard deviation of the population mean or proportion. Hence, these should be adjusted by a finite population correction factor. Answer: TRUE Diff: 3 Page Ref: 374 AACSB: Analytic Skills LO : 4 10) The statistically determined sample size is the net or final sample size the sample remaining after eliminating potential respondents who do not qualify or who do not complete the interview. Answer: TRUE Diff: 2 Page Ref: 375 AACSB: Analytic Skills LO : 4 11) In the statistical approach to determining sample size, the precision level is specified in the end. Answer: FALSE Diff: 3 Page Ref: 376-378 AACSB: Analytic Skills LO : 4 12) The statistical approach to determining sample size is based on the construction of confidence intervals around sample means or proportions. Answer: TRUE Diff: 1 Page Ref: 375 LO : 3 13) The confidence interval approach to sample size determination is based on the construction of confidence intervals around the means or proportions using the standardized variate formula. Answer: FALSE Diff: 2 Page Ref: 375-376 LO : 3 14) Specify the level of confidence is the first step in the confidence interval approach to determining sample size. Answer: FALSE Diff: 2 Page Ref: 375-376 LO : 3 15) When determining the sample size, if the population standard deviation, s, is unknown and 2 Copyright © 2010 Pearson Education, Inc. publishing as Prentice Hall

an estimate is used, the standard deviation should be re-estimated once the sample has been drawn. Next a revised confidence interval should be calculated to determine the precision level actually obtained. Answer: TRUE Diff: 2 Page Ref: 376-378 AACSB: Analytic Skills LO : 4 16) When using the confidence interval approach to sample size determination, in some cases, precision is specified in relative rather than absolute terms. In other words, it may be specified that the estimate be within plus or minus R percentage points of the mean. Answer: TRUE Diff: 2 Page Ref: 376-378 AACSB: Analytic Skills LO : 4 17) When using the confidence interval approach to sample size determination, if the statistic of interest is a proportion, rather than a mean, the approach to sample size determination is very different. Answer: FALSE Diff: 2 Page Ref: 378 AACSB: Analytic Skills LO : 4 18) Survey System (www.surveysystem.com) and the Discovery Research Group (www.drgutah.com) are Web sites on the Internet that offer free use of sample size and/or confidence interval calculators. Answer: TRUE Diff: 2 Page Ref: 381 AACSB: Use of IT LO : 4 19) If the researcher is required to estimate several parameters, not just one, the calculation of sample size in these cases should be based on a consideration of all the parameters that must be estimated. Answer: TRUE Diff: 1 Page Ref: 381 AACSB: Analytic Skills LO : 4 20) Two major nonresponse issues in sampling are improving response rates and adjusting for nonresponse. Answer: TRUE Diff: 2 Page Ref: 384 LO : 5

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21) Because low response rates increase the probability of response bias, an attempt should always be made to improve the response rate. Answer: FALSE Diff: 2 Page Ref: 384 LO : 5 22) Prior notification increases response rates for samples of the general public because it reduces surprise and uncertainty and creates a more cooperative atmosphere. Answer: TRUE Diff: 1 Page Ref: 385-386 LO : 5 23) The door-in-the-face attempt at motivating potential respondents is more effective than footin-the-door. Answer: FALSE Diff: 3 Page Ref: 385-386 LO : 5 24) Prepaid incentives have been shown to increase response rates to a greater extent than promised incentives. Answer: TRUE Diff: 1 Page Ref: 385-386 LO : 5 25) High response rates decrease the probability that nonresponse bias is substantial. Answer: TRUE Diff: 1 Page Ref: 385-386 LO : 5 26) Nonresponse rates should always be reported and, whenever possible, the effects of nonresponse should be estimated. Answer: TRUE Diff: 1 Page Ref: 387-389 LO : 5 27) Information on differences between respondents and nonrespondents may be obtained from the sample itself, or it may be possible to estimate the differences from other sources. Answer: TRUE Diff: 2 Page Ref: 387-389 LO : 5 28) Trend analysis is an attempt to discern a trend between early and late respondents. Answer: TRUE Diff: 1 Page Ref: 387-389 LO : 5

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29) When conducting marketing research in foreign countries, statistical estimation of sample size may be difficult as estimates of the population mean may be unavailable. Answer: FALSE Diff: 3 Page Ref: 389 AACSB: Multicultural and Diversity LO : 6 30) If statistical estimation of sample size is at all attempted, it should be realized that the estimates of the population variance don't vary from country to country. Answer: FALSE Diff: 3 Page Ref: 389 AACSB: Multicultural and Diversity LO : 6 31) By inflating the standard deviation, it is possible to increase the sample size and thus the project revenue for the research firm. Answer: TRUE Diff: 2 Page Ref: 390 AACSB: Ethical Reasoning LO : 7 32) A ________ is a summary description of a fixed characteristic or measure of the target population. It denotes the true value that would be obtained if a census rather than a sample was undertaken. A) statistic B) precision level C) finite population correction D) parameter Answer: D Diff: 2 Page Ref: 372 LO : 1 33) A ________ is a summary description of a characteristic or measure of the sample. It is used as an estimate of the population parameter. A) statistic B) precision level C) finite population correction D) parameter Answer: A Diff: 2 Page Ref: 372 LO : 1

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34) The ________ is a correction for overestimation of the variance of a population parameter, e.g., a mean or proportion, when the sample size is 10 percent or more of the population size. A) statistic B) precision level C) finite population correction D) parameter Answer: C Diff: 1 Page Ref: 374 LO : 3 35) When estimating a population parameter by using a sample statistic, the ________ is the desired size of the estimating interval. This is the maximum permissible difference between the sample statistic and the population parameter. A) statistic B) precision level C) finite population correction D) parameter Answer: B Diff: 2 Page Ref: 373 LO : 3 36) The mathematical symbols "π" and "p" represent a ________ for the population and the sampling distribution respectively. A) proportion B) standard deviation C) standard error of the mean D) variance Answer: A Diff: 2 Page Ref: 373 LO : 1 37) The mathematical symbols "σX" and "SX" represent a ________ for the population and the sampling distribution respectively. A) proportion B) standard deviation C) standard error of the mean D) variance Answer: B Diff: 3 Page Ref: 373 LO : 1

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38) Suppose a simple random sample of five hospitals is to be drawn from a population of 20 hospitals. There are 15,504 different samples of size 5 that can be drawn. The relative frequency distribution of the values of the mean of these 15,504 different samples would specify the ________ of the mean. A) sampling distribution B) normal distribution C) confidence interval D) confidence level Answer: A Diff: 3 Page Ref: 373 AACSB: Analytic Skills LO : 2 39) The ________ is called the standard error of the mean or the proportion to indicate that it refers to a sampling distribution of the mean or the proportion, and not to a sample or a population. A) coefficient of variation B) standardized variate C) variance D) standard deviation Answer: D Diff: 2 Page Ref: 374 AACSB: Analytic Skills LO : 2 40) The ________ is the standard deviation of the sampling distribution of the mean or proportion. A) standard error B) standardized variate C) variance D) standard deviation Answer: A Diff: 2 Page Ref: 374 LO : 2 41) The ________ for a point is the number of standard errors a point is away from the mean. A) coefficient of variation B) z-value C) variance D) standard deviation Answer: B Diff: 2 Page Ref: 374 AACSB: Analytic Skills LO : 3

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42) The statistically determined sample size is the net or ________. A) incidence rate B) initial sample size C) completion rate D) final sample size Answer: D Diff: 2 Page Ref: 375 LO : 4 43) The equation for a 95% confidence interval is: ________. A) X  1.65 X2 B) X  1.65 C) X  1.96 D) A, B, C are incorrect Answer: D Diff: 2 Page Ref: 376 AACSB: Analytic Skills LO : 3 44) When determining the sample size, the standard deviation may not be known. Which of the following was not mentioned in your text as a way to estimate the standard deviation? A) consult secondary sources B) estimate based on researcher judgment C) estimate from the mean D) conduct a pilot study Answer: C Diff: 3 Page Ref: 376 AACSB: Analytic Skills LO : 4 45) Which of the formulas below would be used to determine the sample size using the formula for the standard error of the mean? A) σX = D/z B) n =

 (1   )z 2 D2  z 2 2

C) n =

2

D D) A and C are correct. Answer: C Diff: 2 Page Ref: 377 AACSB: Analytic Skills LO : 4

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46) n =

 2z2 2

D Based on the above formula for sample size, sample size increases with increases in all of the items below except ________. A) sample size increases with an increase in the population variability B) sample size increases with an increase in the degree of confidence C) sample size increases with an increase in the precision level required of the estimate D) All of the above are true. Sample size increases with increases in all of the items above. Answer: D Diff: 2 Page Ref: 377 AACSB: Analytic Skills LO : 4 47) Which formula would be used to determine the sample size using the formula for the standard error of the proportion? A) σX = D/z B) n =

 (1   )z 2 D2  z 2 2

C) n =

2

D D) A and C are correct Answer: B Diff: 1 Page Ref: 377 AACSB: Analytic Skills LO : 4 48) In ________, cost does not enter directly into the calculation of sample size. A) stratified sampling B) simple random sampling C) cluster sampling D) A and C are correct Answer: B Diff: 3 Page Ref: 384 LO : 4 49) The number of interviews that must be completed is the ________. A) incidence rate B) initial sample size C) completion rate D) final sample size Answer: D Diff: 2 Page Ref: 384 LO : 4

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50) The rate of occurrence of persons eligible to participate in the study expressed as a percentage is the ________. A) incidence rate B) initial sample size C) completion rate D) final sample size Answer: A Diff: 2 Page Ref: 384 LO : 4 51) The percentage of qualified respondents who complete the interview is the ________. A) incidence rate B) initial sample size C) completion rate D) final sample size Answer: C Diff: 1 Page Ref: 384 LO : 4 52) Which equation is the correct equation for determining the initial sample size? Final Sample Size  Incidence Rate A) Completion Rate Final Sample Size B) Incidence Rate  Completion Rate Completion Rate C) Incidence Rate  Final Sample Size Final Sample Size  Completion Rate D) Inc idence Rate Answer: B Diff: 2 Page Ref: 383 LO : 4 53) The number of units that will have to be sampled will be determined by the ________. A) incidence rate B) initial sample size C) completion rate D) final sample size Answer: B Diff: 1 Page Ref: 383 LO : 4

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54) Which statement is not true about nonresponse issues in sampling? A) Nonresponse error is one of the most significant problems in survey research. B) Response rates themselves do not indicate whether the respondents are representative of the original sample. C) For a given study, if the nonrespondents differ from the respondents on the characteristics of interests, the sample estimates will only be mildly biased. D) Increasing the response rate may not reduce nonresponse bias. Answer: C Diff: 3 Page Ref: 384 AACSB: Reflective Thinking LO : 5 55) Most refusals occur ________. A) immediately after the interviewer's opening remarks B) when the potential respondent first opens the mail package C) Both A and B are correct. D) when the potential respondent is well into the interview Answer: C Diff: 1 Page Ref: 385 AACSB: Reflective Thinking LO : 5 56) Which survey method has the highest refusal rate? A) telephone B) mall intercept C) mail surveys D) Internet Answer: C Diff: 2 Page Ref: 385 LO : 5 57) A recent study conducted by CMOR study indicated that consumers prefer ________ surveys versus the ________ method of surveys. A) telephone; Internet B) mail; telephone C) Internet; mail D) Internet; telephone Answer: D Diff: 3 Page Ref: 385 LO : 5

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58) Which method of improving response rate involves sending potential respondents a letter notifying them of the imminent mail, telephone, personal, or Internet survey? A) motivating the respondents B) follow-up C) incentives D) prior notification Answer: D Diff: 1 Page Ref: 385 LO : 5 59) Which method of improving response rate involves offering potential respondents monetary and non-monetary gifts? A) motivating the respondents B) follow-up C) incentives D) prior notification Answer: C Diff: 1 Page Ref: 386 LO : 5 60) Which method of improving response rate involves use of the foot-in-the-door or door-inthe-face technique? A) motivating the respondents B) follow-up C) incentives D) prior notification Answer: A Diff: 2 Page Ref: 385-386 LO : 5 61) Which method of improving response rate involves sending potential respondents a postcard or letter to remind nonrespondents to complete and return the questionnaire? A) motivating the respondents B) follow-up C) incentives D) prior notification Answer: B Diff: 2 Page Ref: 386 LO : 5

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62) Which statement is not true about not-at-homes? A) People with small children are more likely to be at home than single or divorced people. B) Consumers are more likely to be at home on weekdays than on weekends. C) Consumers are more likely to be at home in the evening as opposed to during the afternoon. D) Pre-notification and appointments increase the likelihood that the respondent will be at home when contact is attempted. Answer: B Diff: 3 Page Ref: 387 LO : 5 63) Which method of adjusting for nonresponse has the researcher contacting a sub-sample of the nonrespondents; projecting the values obtained from the sub-sample to all respondents; then adjusting the survey results to account for nonresponse? A) substitution B) sub-sampling of nonrespondents C) subjective estimates D) replacement Answer: B Diff: 1 Page Ref: 387-389 LO : 5 64) Which method of adjusting for nonresponse involves evaluating the likely effects of nonresponse based on experience and available information? A) substitution B) sub-sampling of nonrespondents C) subjective estimates D) replacement Answer: C Diff: 2 Page Ref: 387-389 LO : 5 65) ________ is a method of adjusting for nonresponse in which the researcher tries to discern a trend between early and late respondents. This trend is projected to nonrespondents to estimate their characteristic of interest. A) Subjective estimates B) Subsampling of nonrespondents C) Imputation D) None of the above are correct. Answer: D Diff: 2 Page Ref: 387-389 LO : 5

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66) ________ is a statistical procedure that attempts to account for nonresponse by assigning differential weights to the data depending on the response rates. A) Weighting B) Trend analysis C) Subjective estimates D) Imputation Answer: A Diff: 1 Page Ref: 387-389 LO : 5 67) ________ is a method to adjust for nonresponse by assigning the characteristic of interest to the nonrespondents based on the similarity of the variables available for both nonrespondents and respondents. A) Weighting B) Trend analysis C) Subjective estimates D) Imputation Answer: D Diff: 1 Page Ref: 387-389 LO : 5 68) Ethical dilemmas associated with sample size determination include all of the following except ________. A) inflating the standard deviation to increase sample size and project revenue B) what should be done when a difference in the actual standard deviation and the estimated standard deviation results in a larger confidence interval than desired C) investigating the possibility of non-response bias and making a reasonable effort to adjust for it D) All of the above pose ethical dilemmas. Answer: D Diff: 2 Page Ref: 390 AACSB: Ethical Reasoning LO : 7

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69) Discuss four of the methods of reducing refusals to participate in a survey. Answer: ∙ Prior notification - In prior notification, potential respondents are sent a letter notifying them of the imminent mail, telephone, or personal survey. Prior notification increases response rates for samples of the general public because it reduces surprise and uncertainty and creates a more cooperative atmosphere. ∙ Motivating the respondents - Potential respondents can be motivated to participate in the survey by increasing their interest and involvement. Two of the ways this can be done are the foot-in-the-door and door-in-the-face strategies. Both strategies attempt to obtain participation through the use of sequential requests. As explained briefly in Chapter 6, in the foot-in-the-door strategy, the interviewer starts with a relatively small request, such as "Will you please take five minutes to answer five questions?," to which a large majority of people will comply. The small request is followed by a larger request, the critical request, that solicits participation in the survey or experiment. The rationale is that compliance with an initial request should increase the chances of compliance with the subsequent request. The door in the face is the reverse strategy. The init...