Statistical Methods

1.What does a square symbol represent in a Decision Tree?

• • A decision node

• • A chance node

• • An end node

• • A starting point

2. Which of the following is the first step in Decision Tree Analysis?

• • Evaluating outcomes

• • Identifying the decision to be made

• • Assigning probabilities

• • Drawing the decision tree

3.What is a key advantage of Decision Tree Analysis?

• • It works only with qualitative data

• • It provides a visual representation of decisions and outcomes

• • It requires no prior knowledge of probabilities

• • It is always 100% accurate

4.One limitation of Decision Trees is that they:

• • Cannot model complex decisions

• • Are difficult to interpret

• • Can be biased if the data is imbalanced

• • Do not require any data analysis

5.Which of the following is an important step in the construction of a Decision Tree?

• • Maximizing the number of branches

• • Assigning probabilities to outcomes

• • Ignoring uncertain outcomes

• • Removing all chance nodes

6. What is the primary purpose of the F-test?

• • To compare the means of two populations

• • To test the ratio of variances between two populations

• • To test the correlation between two variables

• • To determine the normality of a distribution

7.Which assumption about the data is required for performing an F-test?

• • Data must be nominal

• • Data must be ordinal

• • Data must be normally distributed

• • Data must be non-parametric

8.What is the test statistic used in a Paired t-test?

• • F-ratio

• • Z-score

• • t-statistic

• • Chi-square

9.A Paired t-test is typically used in which of the following situations?

• • Comparing test scores of two unrelated groups of students

• • Comparing the blood pressure of patients before and after treatment

• • Comparing the heights of people in two different countries

• • Comparing the income levels of two independent samples

10.What is the primary goal of Statistical Decision Theory?

• • To compare means of two populations

• • To make optimal decisions under uncertainty

• • To estimate population parameters

• • To test for correlation between two variables