The Following Values Represent the Population of Home Mortgage Interest

question 98

Multiple Choice

The following values represent the population of home mortgage interest rates (in percents) being charged by the banks in a particular city: Given this information, what is the smallest to largest range for the sampling error possible if a random sample of n = 3 banks is surveyed and the mean loan rate is calculated?

• A) About -0.43 to 0.40 percent
• B) About -0.40 to 0.43 percent
• C) About 0.40 to 0.43 percent
• D) Can't be determined without more information.

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Definitions:

Consumer Goods

Products and services that are used by individuals or households to satisfy their immediate wants and needs.

Production Possibilities

The various combinations of goods and services an economy can produce when all its resources are fully employed.

Capital Goods

Long-lasting goods that are used in the production of other goods or services and are not consumed in the production process.

Consumer Goods

Products that are purchased for consumption by the average consumer.