If a Set of Data Is Approximately Normally Distributed,we Would $\pm$

question 54

Multiple Choice

If a set of data is approximately normally distributed,we would find that approximately

• A)2 of every 3 observations would fall between \(\pm\) 1 standard deviation around the mean.
• B)4 of every 5 observations would fall between \(\pm\) 1.28 standard deviations around the mean.
• C)19 of every 20 observations would fall between \(\pm\) 2 standard deviations around the mean.
• D)All the above.

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Definitions:

Return On Assets

A financial metric that indicates how profitable a company is relative to its total assets, measuring how efficiently a company uses its assets to generate earnings.

Profit Margin

A financial ratio calculated as net income divided by revenue, indicating the percentage of revenue that is retained as profit after accounting for costs and expenses.

Asset Turnover

A metric indicating how effectively a company utilizes its assets to produce sales income.

Financial Ratio

A numerical comparison derived from a company's financial statements, used to evaluate aspects of its operational efficiency, liquidity, profitability, and solvency.