SCENARIO 8-3 to Become an Actuary, It Is Necessary to Pass a Pass

question 71

True/False

SCENARIO 8-3
To become an actuary, it is necessary to pass a series of 10 exams, including the most
important one, an exam in probability and statistics.An insurance company wants to
estimate the mean score on this exam for actuarial students who have enrolled in a special
study program.They take a sample of 8 actuarial students in this program and determine
that their scores are: 2, 5, 8, 8, 7, 6, 5, and 7.This sample will be used to calculate a 90%
confidence interval for the mean score for actuarial students in the special study program.
-True or False: Referring to Scenario 8-3, for the confidence interval to be valid, it is
necessary that test scores of students in the special study program on the actuarial exam be
normally distributed.

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Definitions:

Job M825

A specific identifier for a job order, project, or batch within a job-order costing system, used to accumulate and track costs associated with that job.

Overhead Applied

The portion of overhead costs allocated to individual units of production.

Total Job Cost

The sum of all costs assigned to a specific job or project, including materials, labor, and overhead.

Unit Product Cost

The complete expenditure involved in creating a single unit of a product, which includes the costs of direct materials, direct labor, and the apportioned overhead.