Elwin Osbourne, CIO at GFS, Inc

question 68

Multiple Choice

Elwin Osbourne, CIO at GFS, Inc., is studying employee use of GFS e-mail for non-business communications.He plans to use a 95% confidence interval estimate of the proportion of e-mail messages that are non-business; he will accept a 0.05 error.Previous studies indicate that approximately 30% of employee e-mail is not business related.Elwin should sample _______ e-mail messages.

• A)323
• B)12
• C)457
• D)14
• E)100

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Definitions:

Management Remuneration

Compensation and other forms of payment provided to executives and managers of a company for their service and performance.

Entity Performance

The measurement of how efficiently and effectively a company utilizes its resources to generate profits and value for shareholders.

Residual Loss

Losses that remain after all efforts have been made to recover or mitigate the loss, often related to asset disposal or impairment.

Agency Cost

The costs arising from conflict of interest between principals (owners) and agents (managers), including monitoring expenditures and the costs of structuring operations to minimize issues.