Suppose a 95% Confidence Interval For $\mu$ Turns Out to Be (1,000,2,100)

question 22

Multiple Choice

Suppose a 95% confidence interval for $\mu$ turns out to be (1,000,2,100) .What does it mean to be 95% confident?

• A) In repeated sampling,the population parameter would fall in the resulting interval 95% of the time.
• B) 95% of the observations in the entire population fall in the given interval.
• C) 95% of the observations in the sample fall in the given interval.
• D) None of these choices.

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Definitions:

Perpetual EBIT

Illustrates a theoretical concept where a company's earnings before interest and taxes (EBIT) are assumed to continue indefinitely.