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Refer to the Academy of Management Journal(Aug. 2008) study of corporateacquisitions from 1980 to 2000, Exercise 2.12 (p. 74). Thedata file includes the number of firms with at least one

acquisition each year.

a.Construct either a dot plot or a stem-and-leaf display

for the annual number of firms with at least one

acquisition.

b.On the graph, part a, highlight (or circle) the values for

the years 1996–2000. Do you detect a pattern? If so,

what conclusion can you draw from the data?

Year

Number of firms sampled

Number with acquisitions

1980

1963

18

1990

2197

350

2000

2778

748

Total

6938

1116

Short Answer

Expert verified

a.) The key of the stem and leaf display are defined as 28.

b.) The value of the year 1996 to 2000 is 28. Therefore years 1996- 2000 had the highest number of firms with at least one acquisition.

Step by step solution

01

Given information

Given that the data file includes the number of firms with at least one acquisitions. The study of corporate acquisitions from 1980 to 2000 to define in tabulation form.

02

Construct dot plot or stem and leaf display

a.) The stem and leaf display will be given by

Number of firms sampled

Stem

Leaf

1963

19

19

2197

21

97

2778

27

78

The stem and leaf display with one number

(18) with acquisitions. Then the key is taken from the stem and leaf display to given by 28=28.

03

Highlight the value of year to . And also detect pattern and conclusions

b. The value of the year 1996 to 2000 is 28 . The detected pattern follows the stem and leaf display graph and this interval of the year the key is defined.

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Most popular questions from this chapter

The following table is similar to Table 11.2. It is used for making the preliminary computations for finding the least-squares line for the given pairs of x- and y-values.

a. Complete the table.

b. FindSSxy.

c. Find SSxx.

d. Findβ1^.

e. FindX¯andY¯.

f. Findβ0^.

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Descriptive Statistics: PermA, PermB, PermC

Variable

N

Mean

Median

Mode

N for Mode

PermA

100

73.62

70.45

59.9, 60, 60.1, 60.4

2

PermB

100

128.54

139.30

146.4, 146.6, 147.9, 148.3

3

PermC

100

83.07

78.65

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3

The data contain atleast 5 mode value.

Only the smallest 4 are shown

a.Interpret the mean and median of the permeability measurements for Group A sandstone slices.

b.Interpret the mean and median of the permeability measurements for Group B sandstone slices.

c.Interpret the mean and median of the permeability measurements for Group C sandstone slices.

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e.The lower the permeability value, the slower the pressure decay in the sandstone over time. Which type of weathering (type B or type C) appears to result in faster decay?

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y^= 14 - 2.5x.

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a. Find SSE s2and s for the simple linear regression model relating the number (y) of software millionaire birthdays in a decade to the total number (x) of U.S. births.

b. Find SSE s2and s for the simple linear regression model relating the number (y) of software millionaire birthdays in a decade to the number (x) of CEO birthdays.

c. Which of the two models' fit will have smaller errors of prediction? Why?

Decade

Total U.S. Births (millions)

Number of Software Millionaire Birthdays

Number of CEO Birthdays (in a random sample of 70 companies from the Fortune 500 list)

1920

28.582

3

2

1930

24.374

1

2

1940

31.666

10

23

1950

40.530

14

38

1960

38.808

7

9

1970

33.309

4

0

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a. Find s, the estimated standard deviation of the random error term, for the model.

b. Give a practical interpretation of s.

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