Siroun Is Informed That Both of Her One-Year-Old Twin Daughters

question 87

Multiple Choice

Siroun is informed that both of her one-year-old twin daughters are of "normal" weight. She is then informed that one weighs 16 pounds and the other weighs 26 pounds. How is this possible?

• A)One of the twins likely has Down syndrome.
• B)The daughters were likely misweighed.
• C)The "normal" weight range of one-year-olds is very wide.
• D)The initial "normal" information was incorrect.

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Definitions:

Vertical Analysis

A method of financial statement analysis in which each entry for each of the three major categories of accounts (assets, liabilities, and equity) in a balance sheet is represented as a proportion of the total account.

Common Size Analysis

A financial analysis technique that expresses each line item on a financial statement as a percentage of a base amount for easy comparison across periods or companies.

Trend Analysis

The practice of collecting information and attempting to spot a pattern or trend in the data, often used in financial analysis.

Vertical Analysis

A method of financial statement analysis in which each entry for each of the three major categories of accounts (assets, liabilities, and equities) in a balance sheet is represented as a proportion of the total account.