Business Analytics CIE 1 Quiz

What is the primary objective of descriptive analytics?

• To predict future trends

• To optimize business operations

• To summarize past data

• To prescribe actions

Which measure of central tendency is most affected by extreme values?

• Mean

• Median

• Mode

• None of the above

What does the standard deviation measure?

• The average value of a dataset

• The spread of data around the mean

• The most frequently occurring value

• The sum of all data points

Which of the following is not a measure of dispersion?

• Variance

• Mean

• Standard deviation

• Coefficient of variation

Predictive analytics is primarily used to:

• Describe past events

• Predict future outcomes

• Optimize processes

• None of the above

In a simple linear regression model, what does the coefficient of determination (R^2) indicate?

• Strength and direction of relationship

• Percentage of variance explained by the model

• Number of independent variables

• None of the above

Which of the following is an assumption of linear regression?

• Linearity

• Homoscedasticity

• Normality

• All of the above

What is the purpose of multiple regression?

• To analyze the impact of one independent variable on a dependent variable

• To analyze the impact of multiple independent variables on a dependent variable

• To find the mode of a dataset

• None of the above

In regression, multicollinearity occurs when:

• Independent variables are highly correlated

• The dependent variable is constant

• There is a nonlinear relationship

• None of the above

What is the goal of prescriptive analytics?

• To summarize historical data

• To predict future events

• To recommend optimal actions

• To visualize data