Refer to the Information Provided in Scenario 36

question 31

Multiple Choice

Refer to the information provided in Scenario 36.2 below to answer the question(s) that follow.
SCENARIO 36.2: A survey of 1,000 people in Austin, Texas (population 900,000) found that those who have chosen to eat organic produce for at least the past 5 years have experienced fewer serious medical issues than those who have not elected to eat organic produce. Therefore, the conclusion was made that eating organic produce helps prevent people from experiencing serious medical problems.
-Refer to Scenario 36.1. Which of the following statements pertaining to the scenario is the most accurate with respect to selection bias?

• A) The survey exhibits selection bias in that only 1,000 people were surveyed in a city with a population of 900,000).
• B) The survey exhibits selection bias in that the 5-year time frame used to gauge serious medical issues is not long enough.
• C) The conclusion exhibits selection bias in that there may be other factors, such as those who eat organic produce also exercise on a more regular basis, that could account for fewer serious medical problems.
• D) All of the above are correct.

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Definitions:

Employee Labor

Refers to the work performed by employees for which they are compensated by an employer.

Inventory Accounts

Accounts used to track the value of a company's stock of goods.

Overapplied Factory Overhead

A situation where the allocated or applied factory overhead costs are greater than the actual factory overhead costs incurred.

Underapplied Factory Overhead

Occurs when the actual factory overhead costs are higher than the overhead costs allocated to production during a period.