A Report on Spending by Adults on Recreation Stated the Following

question 123

Multiple Choice

A report on spending by adults on recreation stated the following: At least 75 percent of the people in the survey spend between $750 and $1,250 per year. The report also said that at least 88 percent spend between $625 and $1,375 per year. Given this information, which of the following is most apt to be true?

• A) The standard deviation is approximately $125.
• B) The distribution of spending on recreation can be assumed to be bell-shaped.
• C) The standard deviation is approximately $187.5.
• D) The standard deviation is approximately $250.

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Definitions:

Complexity

Refers to the degree of intricacy, difficulty, or multifaceted nature of a task, system, or situation, which can affect manageability and understanding.

Underapplied/Overapplied Overhead

A situation in cost accounting where the overhead costs applied to products or services are less than (underapplied) or more than (overapplied) the actual overhead costs incurred.

Service Industries

Sectors of the economy that provide intangible products, such as healthcare, education, and financial services, to consumers and businesses.

Hybrid Costing System

A costing method that combines elements of both job costing and process costing, suitable for industries producing goods with similar but not identical characteristics.