It Would Be Preferable to Have a Grouped Frequency Table

question 41

Multiple Choice

It would be preferable to have a grouped frequency table rather than a frequency table when data:

• A) are small.
• B) include many raw scores and only one group.
• C) go to many decimal places and cover a large range.
• D) contain many extreme observations.

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Definitions:

Disposable Income

Net funds allocated to households for their spending and saving post the application of income taxes.

Consumption

Consumption is the act of using goods and services by households or individuals.

MPS

Marginal Propensity to Save, expressing the portion of additional income that a household saves rather than spends.

Disposable Income

The amount of money that households have available for spending and saving after income taxes have been accounted for. It is a key indicator of economic health and consumer spending.