A Stock Analyst Was Provided with a List of 25

question 244

Multiple Choice

A stock analyst was provided with a list of 25 stocks. He was expected to pick 3 stocks from the list whose prices are expected to rise by more than 20% after 30 days. In reality, the prices of
Only 5 stocks would rise by more than 20% after 30 days. If he randomly selected 3 stocks from
The list, he would use what type of probability distribution to compute the probability that all of
The chosen stocks would appreciate more than 20% after 30 days?

• A) binomial distribution.
• B) Poisson distribution.
• C) hypergeometric distribution.
• D) none of the above.

Understand the functions of a payroll register and an employee earnings record.

Recognize the implications of taxes for both employers and employees, including FICA, federal, and state income taxes.

Determine gross pay and the impact of overtime on wages.

Analyze the costs associated with employing individuals beyond their gross wages.

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Definitions:

Margin of Error

A measure indicating the level of random sampling error present in the findings of a survey.

Confidence Interval

A set of numbers, coming from the statistics of a sample, which probably includes the value of a parameter from a population that is not known.

Sample Proportion

The fraction of the sample that represents a particular category or characteristic, often used to estimate the proportion in the larger population.

Point Estimate

A single value or statistic used to estimate an unknown population parameter based on sample data.