Provide an Appropriate Response $\overline { X _ { , } }$

question 33

Essay

Provide an appropriate response.
-Suppose that µ represents the mean height for a population of people. Suppose that you use a sample mean, $\overline { X _ { , } }$ to estimate µ. Explain what is meant by sampling error in this situation. Why does $\bar { X }$ vary from one sample to the next? How can you reduce the likely sampling error?

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Definitions:

Moving-average Cost Method

An inventory valuation method that averages the costs of inventory over a period to calculate the cost of goods sold and ending inventory valuation.

Average-cost Method

The average-cost method is an inventory costing method that assigns an average cost to each item in inventory, used to determine the cost of goods sold and ending inventory values.

Weighted-average Cost Method

This inventory costing method assigns a weighted average cost to each unit in inventory, used to calculate cost of goods sold and ending inventory.

Lower-of-cost-or-market

An accounting principle that states assets should be recorded at the lower value of either its cost or its market value.