Question

In: Statistics and Probability

Fogle Enterprises, Inc uses statistics in its quality assurance program. In the table below are the...

Fogle Enterprises, Inc uses statistics in its quality assurance program. In the table below are the important measurements used at some of Fogle Enterprises, Inc international warehouses. For each warehouse they have collected the following information: warehouse location, maximum inventory level in cases, amount of space in square footage, and the percent of humidity expressed as Extreme = e; High = h; moderate = m; or low = l.

City

Max Level

Square Foot

Humidity

Acapulco

99,000

7700.50

e

Bangkok

92,000

7800.00

m

Mexico City

77,000

5700.25

l

Montreal

72,000

5600.75

m

Paris

77,000

5800.00

h

Rome

88,000

6800.00

e

Toronto

78,000

6100.00

l

a. How many elements and how many variables are in this data set?

b. Identify the variables and indicate whether they are qualitative or quantitative.

c. What “scale of measurement” represents each of the variables?

d. Which variables are discrete or continuous, and why?

e. In the actual “SiP” what is the variable being measured and what is the scale of measurement?

Solutions

Expert Solution

a) There are 4 variables as mentioned in the question and they are as follows

i) Location

ii) Maximum inventory level in cases

iii) Amount of space in square footage

iv) Percentage of humidity

there are in all 7 elements as data is collcted for 7 different locations.

b) Qualitative variables are:

i) City

This is qualitative because this can't be measured in numbers.

ii) Humidity

This was initially quantitative but after converting it to extreme,high,moderate and low this became a qualitative variable.

Quantitative variables:

i) Maximum inventory level in cases

ii) Amount of space

These are quantitative because these can be measured in numbers.

c)

i) City-- nominal as it is just named variable

ii) Max level ---continuous scale because this does not have to be a specific value it changes as the city changes.

iii) Square foot ---- Square foot is the scale used to measure this variate.

iv) humidity --- ordinal scale.

d) Discrete variables

i) City is discrete as there can't be infinitely many options possible for this variate only a specific options are available.

ii) Humidity is a discrete variate as it takes only 4 values namely high, low, moderate and extreme.

Continuous variate

i) Max level is continuous as it can ideally take any value.

ii) Square foot is also continuous because this does not have any specific values to take as per the cities this would change.


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