The Business College Computing Center Wants to Determine the Proportion

question 97

Multiple Choice

The business college computing center wants to determine the proportion of business students who havepersonal computers (PCʹs) at home. If the proportion exceeds 30%, then the lab will scale back a proposedenlargement of its facilities. Suppose 300 business students were randomly sampled and 65 have PCʹs at home.What assumptions are necessary for this test to be satisfied?

• A) No assumptions are necessary.
• B) The sample variance equals the population variance.
• C) The population has an approximately normal distribution.
• D) The sample mean equals the population mean.

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Definitions:

Medium of Exchange

is an intermediary instrument used to facilitate the sale, purchase, or trade of goods and services between parties.

Money Multiplier

The ratio of the amount of money created by the banking system through loans and deposits to the amount of money injected into the economy by the central bank.

Money Multiplier

The ratio of the amount of deposits created by banks to the amount of the central bank's monetary base that has been injected into the economy.

100-percent-reserve Banking

A banking system in which banks keep the full amount of their depositors' funds in reserve, meaning they do not loan out any of the deposits but instead hold 100% of deposited money.