Quiz - Using Histograms

1. Histograms can provide visual insight into how the population data values are distributed.

True
False

2. For which of the following populations of data would a histogram NOT provide useful information?

A. Accounts receivable data showing number of days accounts are past due.
B. Dollar value of a pharmaceutical claim.
C. Invoice amounts paid
D. A schedule of paid holidays.

3. For a population which is normally distributed, a histogram will appear as a "bell curve" shape.

True
False

4. Histograms can be used to measure counts of non-numeric data, such as the distribution of letters that appear most frequently in proper names.

True
False

5. In the preparation of a histogram, counts would be placed into "buckets" or "bins" and accumulated for a visual display.

True
False

6. In most histograms, the widths of the bins or buckets will vary within the same histogram display.

True
False

7. In computing the number of bins that should be used to display histogram data, which of the following approaches is recommended.

A. Histograms should always be divided into exactly 10 "bins".
B. The number of bins should be approximately twice the number of items in the population.
C. The number of bins should be approximately half the number of items in the population.
D. The number of bins should be proportionate to the log of the number of items in the population, using base 2.

8. Any "outliers" in a population will be located at one of the histogram "tails", either the left or the right.

True
False

9. A histogram of the total number of invoices submitted by each vendor is prepared. Under normal circumstances the auditor would expect the histogram to appears as:

A. The tallest bar on the left, and then the remaining histogram bars rapidly declining in height as you move to the right.
B. Generally flat.
C. The shortest bar on the left, with the heights of histogram bars increasing steeply as you go to the right.
D. The standard "bell shaped" curve.

Quiz form generated from MS-Excel using EZ-R Quiz

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