The Number of Days Required Per Audit for 100 Recent

question 89

Multiple Choice

The number of days required per audit for 100 recent audits conducted by the IRS office in Cincinnati is shown in the relative frequency table below.Determine the median number of required auditors per job.

• A)3
• B)1
• C)2.5
• D)1.5

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Definitions:

Present Value

The present value of a sum of money or series of cash flows expected in the future, discounted at a certain rate of return.

Amortized Loan

A loan repaid in equal periodic amounts (or “killed off” over time).

Repayment Of Principal

The process of paying back the original amount borrowed in a loan, excluding any interest charges.

Effective Annual Return

The interest rate on an investment on an annual basis, accounting for the effect of compounding more than once per year.