Case:  A marketing researcher for a political party collects data using a survey about political attitudes. He administers the questionnaire to 100 respondents. One of the questions is the Likert statement “I do not believe that children can get a good education in schools today”, where 1 = Totally disagree, 2 = Somewhat disagree, 3 = Neutral, 4 = Agree, 5 = Totally agree. In addition, the researcher obtains information about respondents’ sex. –REFER TO THIS CASE FOR QUESTIONS 31 – 34– Q31: Which of the following techniques could be used to investigate the relationship between sex (m/f) and education attitudes using the data described above?

Q37:  Given that this data uses a Likert scale, which of the following would also be a possibility?

Q39:  Using the regression output above, what is the prediction for next years total spend for a 52 year old male customer that visited the store 3 times the previous year?

Q36:  Suppose that within each of the education levels (Elem school, Some High School, etc.) the variation in the responses to the Likert scale question remained the same, but the means for each education level where much further apart than they are above.  What would you expect to happen to the values of SSM and SSE?

Suppose you are provided the data for the following survey questions given to working-age adults: 1)  How would you describe your current employment status ____ Employed full-time    ____Employed part-time    ____Unemployed ____Other   2)  What is the highest level of education that you have completed? ____Elementary school ____Middle school ____High school ____2-year College degree ____Trade School ____Four year college degree ____Graduate college degree   3)  What is your age in years?   _____   Given these questions, what technique would be best for investigating the how well education level and age predict whether a person is employed full-time?

Suppose you are trying to measure the annual sales of X brand potato chips.  To measure this you ask the following question in a survey:         “Roughly how many bags (of any size) of  X brand potato chips do you purchase in a given year?    _______bags   Which of the following is true?

Congratulations! You’ve finished the final exam for TAX 4143. If you could describe your experience in this course using just one word, what word would you choose?

Note: use the following fact pattern for the next two questions.   Alberto owns 25 percent of Sycamore, an S corporation. At the beginning of the year, Alberto’s basis in his stock was $30,000, his share of Sycamore’s accumulated adjustments account (AAA) was $25,000, and his share of Sycamore’s earnings and profits from prior C corporation years (accumulated E&P) was $15,000. Then, during the year, Alberto was allocated $12,500 of ordinary income and Sycamore made a nonliquidating distribution to Alberto of $50,000.   How much of the distribution is taxable to Alberto as a dividend?

Nicole and Paula each own 50 percent of Magnolia, an S corporation. Magnolia reported the following revenues and expenses:   Sales revenue – $720,000 Cost of goods sold – ($200,000) Depreciation expense (MACRS) – ($12,000) Sec. 179 expense – ($44,000) Long-term capital gains – $8,000 Qualified dividends – $5,000 Nontaxable interest income – $3,000 Salaries to owners – ($120,000) Employee wages (excluding salaries to owners) – ($50,000)   In addition, Nicole and Paula each received distributions of $10,000 from Magnolia.   Which of the following items is not a separately stated item allocated to Nicole?

Alberto owns 25 percent of Sycamore, an S corporation. At the beginning of the year, Alberto’s basis in his stock was $30,000, his share of Sycamore’s accumulated adjustments account (AAA) was $25,000, and his share of Sycamore’s earnings and profits from prior C corporation years (accumulated E&P) was $15,000. Then, during the year, Alberto was allocated $12,500 of ordinary income and Sycamore made a nonliquidating distribution to Alberto of $50,000.   What is Alberto’s basis in his Sycamore stock after the distribution?