Nonparametric Tests Are More Likely to Be Appropriate Than Parametric

question 23

Multiple Choice

Nonparametric tests are more likely to be appropriate than parametric tests when:

• A) The dependent variable is severely skewed
• B) The dependent variable is measured on at least an interval scale
• C) The sample size is large
• D) Values in the population are normally distributed

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Definitions:

Marginal Decisions

Decisions made based on the additional benefit or cost of consuming or producing one more unit of a good or service.

Additional Costs

Are extra costs that may not have been initially accounted for or that occur beyond the expected costs of production or operations.

Additional Benefits

The perks or supplementary advantages that come in addition to the primary benefits of a product, service, or policy.

Marginal Analysis

Marginal Analysis is an examination of the additional benefits of an activity compared to the additional costs incurred by that same activity.