Reference no: EM133931775

Question 1
An investor is evaluating the performance of two investment portfolios-Investment X and Investment Y-based on their annual returns over a 5-year period.

The recorded returns for each year are shown in the table below: [You must use the formulas and symbols presented in class and show all calculation steps clearly. Do not use Excel or any other software tools]

You are required to calculate and comment on:
Using the annual returns of Investment X from 2016 to 2020, calculate the following. (3 marks)
The mean (average) return
The standard deviation of the returns
The geometric mean return

ANSWER (box will enlarge as you enter your response)

Week 8 18
Week 9 19
Week 10 23
Week 11 24
Week 12 23
Week 13 25
Week 14 24
Week 15 26

c) Based on your calculations, compare the results for Investment X and Investment Y and comment on the relative performance and risk of the two investments. Which one would you recommend and why?

Question 2
The analytics team is working on a data analysis project for a mid-sized retail chain that wants to better understand customer satisfaction across its regional stores. The company has collected customer satisfaction ratings (on a scale of 1 to 10) from different regions. However, initial visualizations and summary statistics suggest that some of the data may not be normally distributed, especially in regions with fewer responses. The analytics team is now debating whether to use parametric or nonparametric statistical methods for their analysis. The manager also wants to understand the trade-offs between the two approaches, especially in terms of statistical power and assumptions.

Required:

Discuss the differences between parametric and nonparametric statistical methods. Specifically:

When should nonparametric methods be used instead of parametric methods?

Which type of method is generally more powerful, and why?

Provide a practical example from a business context where using a nonparametric method would be more appropriate.

Question 3
As part of their capstone consulting project, a group of MBA students has been engaged by a regional healthcare management company to assess the efficiency of its internal innovation team, which is responsible for implementing process improvement initiatives across its network of clinics.

According to company leadership, the average time to complete an internal improvement project is 10 weeks. However, based on interviews with project managers and reviews of project records, the student team suspects that the actual average completion time may be longer than reported.

To verify this claim, the students collect data from a random sample of 71 completed projects. Their analysis shows a sample mean completion time of 10.6 weeks and standard deviation of 1.9 weeks.

[You must use the formulas and symbols presented in class and show all calculation steps clearly. Do not use Excel or any other software tools]

Required:
At the 5% significance level, test whether the data supports the hypothesis that the true average project turnaround time exceeds 10 weeks.

You must use the 6-step hypothesis testing procedure (Critical value Approach) covered in this unit.

When would you use a one-tailed or two-tailed test of significance?

Based on the outcome of your hypothesis test in Part A, advise the healthcare company's leadership team on whether they should take action to improve project turnaround times.

Question 4
As part of a market analysis project, an MBA student team developed a multiple linear regression model to predict customer spending (y) based on several independent variables (x , x , x , x and x ). Get expert online assignment help in the USA.

The dataset consists of 46 observations, and the estimated regression equation is given as:
y: Predicted monthly customer spending ($) x1: Household Income (in thousands of $) x2: Age of the customer (in years)

x3: Loyalty Program Membership (1 = member, 0 = non- member)
x4: Number of Promotional Emails Opened in the past month x5: Number of In-store Visits in the past month
Y = 17 + 4x - 3x + 8x + 5x + 8x for this model, SST = 3410 and SSE = 510.
[You must use the formulas and symbols presented in class and show all calculation steps clearly. Do not use Excel or any other software tools]

Required:
a) Compute the multiple coefficient of determination and the standard error of the estimate. Interpret their meaning.

b) Perform an F test (Critical value approach) and determine whether or not the regression model is significant. Use level of significance as 5%.

Based on the estimated regression equation, interpret the regression coefficients and provide managerial insights.

Interpret the meaning of each regression coefficient in the context of the scenario.Based on your interpretation, what recommendations would you make to the marketing team to increase customer spending?

Question 5
As part of a quarterly performance review, the marketing analytics team at Bank Drug Company is analysing the performance of its newly launched product-Jeffrey William brand designer bandages. The product was introduced four months ago with the promotional slogan: "What the best dressed cuts are wearing." The company has tracked weekly sales (in thousands of units) for the first 15 weeks, as shown in the Part A table.

Required:
a) Complete the table below for developing a linear trend model for forecasting sales.

b) Use the table in Part A to develop a linear regression equation.

c) Use the Equation in Part B to forecast sales for Weeks 16, 17, 18 and 19.

d) Using a three-period weighted moving average (0.6, 0.3, 0.1), forecast the sales for Week 16, 17, 18 and 19.

e) Compare the results of the two forecasting methods used in Part C and Part D.

Which method appears more appropriate for this scenario?
Consider accuracy, responsiveness to trends, and business implications in your justification.