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THE PUBLIC ACCOUNTANTS EXAMINATIONS BOARD
A Committee of the Council of ICPAU
CPA (U) EXAMINATIONS
LEVEL ONE
QUANTITATIVE TECHNIQUES - PAPER 5
FRIDAY, 18 JUNE 2010
INSTRUCTIONS TO CANDIDATES
1. Time allowed: 3 hours15 minutes.
The first 15 minutes of this examination have been designated for reading
time. You may not start to write your answer during this time.
2. Attempt three questions in Section A and two questions in Section B.
3. Section A has four questions and only three are to be attempted. Each
question carries 20 marks.
4. Section B has three questions and only two are to be attempted. Each
question carries 20 marks.
5. Tables are provided on pages 8 and 9.
6. Please read further instructions on the answer booklet.
© 2010 Public Accountants Examinations Board
Quantitative Techniques – Paper 5
18 June 2010 2 Turn over
SECTION A
Question 1
(a) Give three differences between dispersion and skewness.
(6 marks)
(b) The distribution of the number of hours put in by the workers in the
production of instant coffee in a factory in Kigali is given in the table
below:
Hours Number of people
0 - 4
10 - 14
20 - 28
30 - 22
40 - 16
50 -70 16
Required:
(i) Calculate the mean and mode of the hours of production in a week
(8 marks)
(ii) Calculate the skewness of the distribution, giving the answer to 3
significant figures.
(6 marks)
Hint:

Sk x mod e


(Total 20 marks)
Question 2
(a) Distinguish between Laspeyre’s and Paache’s price indices.
(6 marks)
(b) Explain why weighting is used in the construction of index numbers.
(2 marks)
(c) The table below gives the output of a beverages company, in thousands of
crates:
Month Output Month Output
January 200 July 430
February 260 August 680
March 430 September 150
April 570 October 320
May 150 November 450
June 210 December 730
Quantitative Techniques – Paper 5
18 June 2010 3 Turn over
Required:
Find the five months’ moving averages of the output and draw a graph...

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