A Pharmaceutical Company Wants to Answer the Question Whether It

question 10

Multiple Choice

A pharmaceutical company wants to answer the question whether it takes longer than 45 seconds for a drug in pill form to dissolve in the gastric juices of the stomach.A sample was taken from patients taken the given drug in pill form and times for the pills to be dissolved were measured.State assumptions of the test.
I.The subjects must be part of a medical study group investigating the drug.
II.The subjects in the sample must be randomly selected from a population.
III.The sample data must come from a normally distributed population of observations for
The variable under study.

• A)I only
• B)II only
• C)III only
• D)II and III
• E)None of these

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Definitions:

Market Timing

An investment strategy where the investor tries to predict future market movements to buy low and sell high.

Asset Allocation Fund

A mutual fund that spreads its investments across various asset classes, aiming to reduce risk through diversification.

Sector Fund

A mutual fund that invests exclusively in a particular sector of the economy, such as technology, health care, or finance.

Money Market Funds

Mutual funds that invest in short-term debt securities such as government bonds, treasury bills, and commercial paper, offering investors liquidity and safety.