Which of the Following Conditions Does NOT Favor the Choice

question 18

Multiple Choice

Which of the following conditions does NOT favor the choice of using a sample over a census?

• A)small budget
• B)Time available is short.
• C)Population size is large.
• D)Variance in the characteristic of interest is low.
• E)Cost of sampling error is high.

---

Definitions:

Financial Performance

An indicator of how well an entity can use assets from its primary mode of business and generate revenues.

Residual Income

A measure of performance that calculates the income an investment generates above the minimum required return.

Net Operating Income

A measure of a company's profitability, calculated by subtracting operating expenses from operating income.

Average Operating Assets

The average value of the assets used in the normal operations of a business over a specific period, typically used in return on investment calculations.