I the Higher the Degree of Confidence, the Larger the Sample

question 112

Multiple Choice

i. The higher the degree of confidence, the larger the sample required to give a certain precision.
ii. To determine the size of a sample, the standard deviation of the population must be estimated by either taking a pilot survey or by approximating it based on knowledge of the population.
Iii) One factor in determining the size of a sample is the maximum allowable error that you must decide on. It is the maximum error you will tolerate at a specified level of confidence.

• A) (i), (ii) and (iii) are all correct statements
• B) (iii) is a correct statement but not (i) or (ii).
• C) (i) and, (iii) are correct statements but not (ii).
• D) (ii) and, (iii) are correct statements but not (i).
• E) All statements are false

---

Definitions:

Shareholders' Equity

The ownership interest of shareholders in a company's assets, once all liabilities have been subtracted.

Net Working Capital

Net working capital is the difference between a company's current assets and current liabilities, indicating the short-term financial health and operational efficiency of the company.

Net Fixed Assets

The value of all fixed assets in a company, such as property, plant, and equipment, after accounting for depreciation and amortization.

Cash Flow From Assets

Is the total amount of money being transferred into and out of a business, specifically from its operational, investment, and financial activities.