The Finite Population Correction Factor Should Not Be Used When

question 30

Multiple Choice

The finite population correction factor should not be used when:

• A)we are sampling from an infinite population.
• B)we are sampling from a finite population.
• C)sample size is greater than 1% of the population size.
• D)None of these choices are correct.

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Definitions:

Cost with Amortization Method

The spreading of the cost of an intangible asset over its useful life, affecting financial statements through periodic charges.

Unrealized Gain

The potential profit that exists on paper resulting from an investment that has not yet been sold for cash.

Fair Value Adjustment

A process of adjusting the book value of an asset or liability to reflect its current market value.

Available-for-Sale

A category of securities that are not classified as held-to-maturity or trading securities, and are recorded at fair value.