1) Please only answer TWO of the following questions.

a) Explain why an analyst or business owner might be interested in regression analysis. Please provide an example to support your answer.

b) Explain (with the use of a business-related example) why the expected return (mean) and standard deviation are important statistics.

c) Provide one real-life example that assumes a 'normal distribution'. How does the central limit theorem relate to normality?

d) The variance and standard deviation are both measures of the variability of data about the mean of a data set. The larger the variance, the greater the spread of the data about the mean. Similarly, the greater the standard deviation, the greater the spread of the data about the mean. Briefly describe the two advantages that the standard deviation has over the variance as apracticallyuseful measure of the variability of a data set about the mean.

Do NOT answer all questions. You only need to answer any TWO of A,B,C and D.