A Random Sample of 25 Employees of a Local Company

question 115

Multiple Choice

A random sample of 25 employees of a local company has been measured. A 95% confidence interval estimate for the mean systolic blood pressure for all company employees is 123 to 139. Which of the following statements is valid?

• A) 95% of the sample of employees has a systolic blood pressure between 123 and 139.
• B) If the sampling procedure were repeated many times, 95% of the resulting confidence intervals would contain the population mean systolic blood pressure.
• C) 95% of the population of employees has a systolic blood pressure between 123 and 139.
• D) If the sampling procedure were repeated many times, 95% of the sample means would be between 123 and 139.

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Definitions:

Current Ratio

A liquidity ratio that measures a company's ability to pay short-term obligations or those due within one year, calculated as current assets divided by current liabilities.

Short-Term Investments

Investments that are made with the expectation of converting them into cash within a short period, usually one year or less.

Net Receivables

the total amount of money owed to a company by its customers minus any amounts that are expected to be uncollectible.

Current Liabilities

Short-term financial obligations that are due within one year or within the normal operating cycle of the business, whichever is longer.