Which of the Following Statements Is True

question 11

Multiple Choice

Which of the following statements is true?

• A) A sample's size is more critical than its representativeness.
• B) Surveys are procedures used to measure and evaluate people's abilities and aptitudes.
• C) The likelihood of lying on a survey is the same even when respondents are guaranteed anonymity.
• D) A problem with surveys is that sometimes people lie or misinterpret the question.

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Definitions:

Market Value Weight

An investment strategy that involves constructing a portfolio where each asset is weighted according to its market capitalization.

Open-end Mutual Funds

Investment funds that continually issue new shares and buy back existing shares from investors, without a fixed number of shares.

Guaranteed Rate

A fixed interest rate agreed upon in a financial contract, ensuring that the rate will not change for the contract's duration.

Net Asset Value

The value per share of a mutual fund or ETF, calculated by dividing the total value of all the securities in the portfolio, minus liabilities, by the number of shares outstanding.