Every year many applicants are disappointed by the outcomes of graduate school applications….

ST635 Final Project

Introduction:

Every year many applicants are disappointed by the outcomes of graduate school applications. In research, there are actually some factors(variables) that, together, make up for a huge impact of final results of getting admitted by their dream schools. It is not only compelling but also essential to find out the role each variable plays in the process to help students better understanding which part of work they should focus and improve more in his or her personal condition in order to succeed in getting admitted.

Data Description:

The data we are using is Graduate Admission dataset for our analysis. In particular, we want to find out the relationships of a student’s studying scores and odds of getting admitted by graduate schools. In the following steps, we are using logistic model, linear regression, decision tree model, and clusters to find best model to analyze the result.

The dataset contains several parameters which are considered important during the application for Masters Programs. The parameters included are : 1. GRE Scores ( out of 340 ) 2. TOEFL Scores ( out of 120 ) 3. University Rating ( out of 5 ) 4. Statement of Purpose and Letter of Recommendation Strength ( out of 5 ) 5. Undergraduate GPA ( out of 10 ) 6. Research Experience ( either 0 or 1 ) 7. Chance of Admit ( ranging from 0 to 1 )

Because the number of observations is too small, we may introduce cross validation method to stabilize the prediction accuracy.

Methodology:

Particularly, logistic regression model after separating data into training data and running a logistic regression, we can successfully predict the status of admission for every candidate. Specifically, based on the false positive rate of the results, we find the best model for use. We are using unsupervised and supervised data in particular, checking PCA to explain better sensitivity rate and accuracy. Similarly, for linear regression model, we run linear regression model and look for the possibility of getting admitted above 0.5 is a good indicator, based on positive and negative rate. While running decision tree model, we separate raw data into training data, and then we form basic decision trees using given data in specific conditions we generate. Finally, we analyze and find out the best fitted model with numbers of nodes and numbers of layers. Last but not least, the clusters we are using hierarchy analysis to decide the number of groups and categorize individuals with common characteristic, and then conduct non-hierarchy analysis to based on group we decide.

Motivation:

The reason why we chose this model is we are interested in both finding out the relationship and helping out student to succeed in all perspectives in order to get into good schools. Nevertheless, this is what we have been through. Therefore we are familiar with dataset variables. There are over 400 observations and 7 variables that make it feasible to be predicted and analyzed. The intersection of our background and experience led us to focus on the admission research dataset dedicated towards statistics. Moreover, it is an unique application or rather an improvement of what we learnt in class.

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    62. The primary limitation of a full-cost based transfer pricing system is that: A The supplying and

    62.
    The
    primary limitation of a full-cost based transfer pricing system is that:
    A
    The supplying and purchasing divisions
    are more likely to make decisions that are inconsistent with the
    .
    goals of the organization as a whole.

    B.There
    will be little incentive on the part of the supplying manager to supply goods
    and services efficiently.

    C.
    Managers may spend too much time
    negotiating the transfer price.
    D.
    Managers may find that the transfer
    price is difficult to compute.
    E.
    Such transfer prices are not currently
    allowed for federal income tax purposes.

    67.
    A company has two divisions, X and Y,
    each operated as an investment center. X charges Y $55 per unit for each unit
    transferred to Y. Other data are:

    X is
    planning to raise its transfer price to $65 per unit. Division Y can purchase
    units at $50 each from outsiders, but doing so would idle X’s facilities now
    committed to producing units for Y. Division

    X cannot
    increase its sales to outsiders. From the perspective of the short-term
    profit position of the company as a whole, from which source should
    Division Y acquire the units?

    A.
    Outside vendors.
    B.
    Division X, but only at the variable
    cost per unit.
    C.
    Division X, but only until fixed costs
    are covered, then should purchase from outside vendors.
    D.
    Division X, in spite of the increased
    transfer price.
    E.
    It is not possible to tell without
    additional information.
    .jpg”>

    68. Division
    A, which is operating at capacity, produces a component that it currently sells
    in a competitive market for $25 per unit. At the current level of production,
    the fixed cost of producing this component is $8 per unit and the variable cost
    is $10 per unit. Division B would like to purchase this component from Division
    A. The price that Division A should charge Division Y for this component is:
    A.
    $10 per unit.

    B.
    $18 per unit.
    C.
    $20 per unit.
    D.
    $25 per unit.
    E.
    $35 per unit.

    69.
    A company established a branch to sell
    automobile seat covers. The company purchases these covers and stores them in a
    warehouse. The covers are then shipped from the warehouse to both the home
    office and the new branch, FOB destination. Home office management is
    responsible for setting the transfer price of the covers charged to the branch.
    Per-unit costs of the covers are:

    According to the general
    transfer-pricing formula given in the text, the minimum transfer price
    that home office should charge the branch is:

    A.
    $62.50.
    B.
    $63.50.
    C.
    $66.00.
    D.
    $68.00.
    E.
    $69.00.
    .jpg”>
    Selected data from Division A of
    Green Company are as follows:
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    70.
    Division
    A’s return on investment (ROI) is:
    A.
    1.8%.

    B.
    7.5%.
    C.
    12.0%.
    D.
    20.0%.
    E.
    48.0%.

    71.
    Division
    A’s return on sales (ROS) is:
    A.
    1.8%.
    B.
    7.5%.
    C.
    12.0%.
    D.
    20.0%.
    E.
    48.0%.

    72.
    Division
    A’s asset turnover (AT) is (rounded):
    A.
    0.72.

    B.
    1.00.
    C.
    1.58.
    D.
    1.67.
    E.
    2.08.

    73.
    Division
    A’s residual income (RI) is:
    A.
    $15,000.
    B.
    $24,000.
    C.
    $30,000.
    D.
    $36,000.
    E.
    $54,000.

    74.
    If
    the minimum rate of return was 10%, Division A’s residual income (RI) would be:

    A.
    $15,000.

    B.
    $24,000.
    C.
    $30,000.
    D.
    $36,000.
    E.
    $45,000.

    75.
    In
    the context of transfer pricing, dual pricing is:
    A.
    Never used when numerous conflicts exist
    between two units.

    B.
    The simultaneous use of two or more
    transfer pricing methods.
    C.
    The use of two or more transfer pricing
    methods by the buyer only.
    D.
    Not recommended because of negative
    behavioral consequences.
    E.
    Not recommended because it conflicts
    with current income tax requirements.

    76. Expropriation
    occurs when the government in which a foreign company’s investment assets are
    located:

    A.
    Takes ownership and control of those
    assets.
    B.
    Charges additional taxes for the use of
    those assets.
    C.
    Uses domestic currency to purchase those
    assets.
    D.
    Uses foreign currency to purchase those
    assets.
    E.
    Does not allow transnational transfers
    of currency.

    77.
    One
    advantage of the return on investment (ROI) metric is that it:
    A.
    Can use the minimum rate of return to
    adjust for differences in risk.
    B.
    Can use a different minimum rate of
    return for different types of assets.
    C.
    Eliminates goal congruency problems,
    particularly for better-performing divisions.
    D.
    Requires disclosure under current
    international financial reporting standards.
    E.
    Can be compared to interest rates and to
    rates of return on alternative investments.

    78. One
    approach to measuring the short-term financial performance of a business unit
    considered an investment center is return on investment (ROI). ROI is expressed
    as operating income of the investment center
    A.
    Divided by the current year’s capital
    expenditures plus cost of capital.
    B.
    Minus imputed interest charged for the
    use of invested capital by the investment center.
    C.
    Divided by fixed assets.
    D.
    Divided by total assets used by the
    investment center.
    E.
    Minus the asset turnover (AT) of the
    investment center.

    79.
    The
    two approaches for estimating EVA® are:
    A.
    The operating approach and the capital
    approach.

    B.
    The financing approach and the operating
    approach.
    C.
    The discounted approach and the
    financing approach.
    D.
    The operating approach and the
    discounted approach.
    E.
    The residual income approach and the
    operating-income approach.

    80.
    A fully-owned subsidiary of a
    multinational company reports its return on investment (ROI) periodically
    during the year. This unit of the company, for performance evaluation purposes,
    is likely considered a(n):

    A.
    Profit center.
    B.
    Revenue center.
    C.
    Investment center.
    D.
    Operating center.
    E.
    Cost center.

     

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