It Is Desired to Estimate the Average Total Compensation of CEOs

question 94

Multiple Choice

It is desired to estimate the average total compensation of CEOs in the Service industry. Data were randomly collected from 18 CEOs and the 95% confidence interval was calculated to be ($2,181,260, $5,836,180) . Based on the interval above, do you believe the average total compensation of CEOs in the Service industry is more than $3,000,000?

• A) Yes, and I am 95% confident of it.
• B) Yes, and I am 78% confident of it.
• C) I am 95% confident that the average compensation is $3,000,000.
• D) I cannot conclude that the average exceeds $3,000,000 at the 95% confidence level.

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Definitions:

Vendor Performance Assessment

Vendor Performance Assessment involves evaluating and monitoring a supplier's performance to ensure they meet contractual obligations and performance standards.

Proposal Analysis

The process of evaluating a proposal to determine its feasibility, cost-effectiveness, and compatibility with organizational goals, often involving comparison with competitive offers.

RFP Process

Stands for Request for Proposal process, a step-by-step approach through which an organization solicits bids from potential suppliers or service providers for a specific project or procurement.

Vendor Performance

The assessment and review of a supplier's delivery of goods or services against agreed-upon metrics and standards.