SCENARIO 2-5
the Following Are the Duration in Minutes of a Sample

question 103

Multiple Choice

SCENARIO 2-5
The following are the duration in minutes of a sample of long-distance phone calls made within the continental United States reported by one long-distance carrier. $$\begin{array} { l c } \text { Time(inMinutes) } & \begin{array} { c } \text { Relative } \\\text { Frequency }\end{array} \\\hline 0 \text { but less than } 5 & 0.37 \\5 \text { but less than } 10 & 0.22 \\10 \text { but less than } 15 & 0.15 \\15 \text { but less than } 20 & 0.10 \\20 \text { but less than } 25 & 0.07 \\25 \text { but less than } 30 & 0.07 \\30 \text { or more } & 0.02\end{array}$$
-Referring to Scenario 2-5, if 1,000 calls were randomly sampled, how many calls lasted under 10 minutes?

• A)220
• B)370
• C)410
• D)590

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Definitions:

Paid-In Capital

Funds raised by a company through the issuance of shares to investors, exceeding the par or stated value of the shares.

Par Value

The nominal or face value of a bond, share of stock, or coupon as stated by the issuer, which may not be indicative of the market value.

Debit Balance

A debit balance is the amount that remains in a particular account within a bookkeeping ledger, primarily indicating money owed or expenses that have surpassed credits.

Retained Earnings

This part of shareholders' equity reflects the accumulated net income retained for reinvestment in the business, rather than being paid out in dividends.