Why Do Studies That Use Probability Samples Have Excellent External

question 16

Multiple Choice

Why do studies that use probability samples have excellent external validity?

• A)They have good internal validity too.
• B)They study every member of the population of interest.
• C)They are more complicated to do.
• D)All members of the population are equally likely to be represented in the sample.

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Definitions:

Book Value

The worth of an asset as stated in its balance sheet, factoring in the original cost of the asset reduced by depreciation.

Equity Method

An accounting technique used by a company to record its investment in another company, typically when it has significant influence but does not fully control it, usually through owning 20% to 50% of the voting stock.

Common Stock

Represents ownership shares in a corporation, giving holders voting rights and a share in the company’s profits through dividends.

Goodwill

An intangible asset that represents the excess value paid over the fair market value of an acquired company's net assets.