In a Normal Approximation to the Sign Test, the Standardized

question 115

Multiple Choice

In a normal approximation to the sign test, the standardized test statistic is calculated as z = -1.58. To test the alternative hypothesis that the location of population 1 is to left of the location of population 2, the p-value of the test is:

• A) 0.1142
• B) 0.2215
• C) 0.0571
• D) 0.2284

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Definitions:

Long-Term Debt

Financial obligations of a company that are due more than one year in the future.

Current Assets

Assets owned by a company that are expected to be converted into cash, sold, or consumed within one year or within the operating cycle of the business.

Present Value

The current value of a future sum of money or stream of cash flows given a specified rate of return, used in discounting to determine investment worth.

Long-Term Liabilities

Financial obligations of a company that are due after more than one year.