A Random Sample of 250 Students at a University Finds

question 26

Multiple Choice

A random sample of 250 students at a university finds that these students take a mean of 15.4 credit hours per quarter with a standard deviation of 2.2 credit hours. The 99% confidence interval for the mean is 15.4 ± 0.358. Interpret the interval.

• A) We are 99% confident that the average number of credit hours per quarter of students at the university falls in the interval 15.042 to 15.758 hours.
• B) 99% of the students take between 15.042 to 15.758 credit hours per quarter.
• C) We are 99% confident that the average number of credit hours per quarter of the sampled students falls in the interval 15.042 to 15.758 hours.
• D) The probability that a student takes 15.042 to 15.758 credit hours in a quarter is 0.99.

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Definitions:

Leverage

A means of gaining a strategic advantage through the use of a particular resource or capability.

Profitability

The state or condition of yielding financial profit or gain, typically measured over a specific period of time.

Use Of Debt

The practice of borrowing funds to finance activities, investments, or purchases, often as a strategic financial decision.

Current Ratio

A liquidity ratio that measures a company's ability to pay short-term obligations or those due within one year.