In Developing a Confidence Interval for the Population Mean $\mu$ , a Sample of 50 Observations Was Used, and the

question 1

Multiple Choice

In developing a confidence interval for the population mean $\mu$ , a sample of 50 observations was used, and the confidence interval was 15.24 $\pm$ 1.20. Had the sample size been 200 instead of 50, the confidence interval would have been

• A) 7.62 \(\pm\)
• 1)20
• B) 15.24 \(\pm\)
• )30
• C) 15.24 \(\pm\)
• )60
• D) 3.81 \(\pm\)
• 1)20
• E) None of the above answers are correct.

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Definitions:

Discounted Payback Period

The time it takes to break even from an investment based on the present value of its cash flows.

Projects

Specific tasks or endeavors undertaken by individuals or organizations to achieve particular goals, often involving a series of planned actions or steps.

Payback

Payback period refers to the time it takes for an investment to generate enough cash flow to recover its initial cost.

Profitability Index

is a capital budgeting tool that measures the relationship between the present value of cash flows and the initial investment, indicating the value created per dollar invested.