In an Economy, the Value of Inventories Fell from $75

question 151

Multiple Choice

In an economy, the value of inventories fell from $75 billion in 2012 to $63 billion in 2013.In calculating the total investment for 2013, national income accountants would:

• A)decrease it by $75 billion.
• B)increase it by $63 billion.
• C)decrease it by $12 billion.
• D)increase it by $138 billion.

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Definitions:

Two-tailed Test

A statistical hypothesis test in which the area of rejection is on both sides of the sampling distribution, allowing for the possibility of an effect in two directions.

Independent Populations

Populations in which the outcomes or characteristics of a sample from one population are not affected by the outcomes or characteristics of a sample from another population.

Sampling Distribution

The probability distribution of a given statistic based on a large number of samples from the same population.

Sample Mean Difference

The difference between the means of two samples, used in hypothesis testing and estimation.