Which of the Following Is TRUE About Probability Sampling Methods

question 38

Multiple Choice

Which of the following is TRUE about probability sampling methods?

• A)In most cases,the raw size of the sample is less important than the fraction of the population that the sample represents.
• B)A smaller sample tends to be more representative of a population than a larger drawn from the same population.
• C)A sample of 3% of the population is always more representative of the population than a sample of 2% of the population,regardless of the size of the sample drawn.
• D)The more heterogeneous a population is,the more likely a sample will be representative of it.

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Definitions:

Margin of Safety

The difference between actual or expected sales and the break-even sales, measured to assess the risk of incurring losses.

Contribution Margin

The amount by which sales revenue exceeds variable costs, indicating how much contributes to covering fixed costs and generating profit.

Capital Intensive

Describes industries or businesses that require large amounts of investment in heavy machinery, equipment, or other capital assets to produce goods or services.

Margin of Safety

The difference between actual or projected sales and the break-even point, indicating the level of risk in meeting profitability targets.