The Dollar Value of Orders Placed Through a Particular Store

question 150

Multiple Choice

The dollar value of orders placed through a particular store catalog is found to be normally distributed with a standard deviation of $21.58.A sample of 30 orders averaged $81.25.What is the 90% confidence interval around this sample mean?

• A)$81.25 ± $21.58
• B)$81.25 ± $10.79
• C)$81.25 ± $12.15
• D)$81.25 ± $6.48

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Definitions:

Futures Markets

Financial markets that facilitate the buying and selling of future contracts, which are agreements to buy or sell an asset at a future date at a price specified today.

Financial Contracts

Agreements between parties to conduct a financial transaction according to specified terms.

Synthetic Stock Positions

Financial derivative strategies that mimic the outcomes of holding an actual stock, using instruments such as options.

Market Timers

Individuals or entities that attempt to predict market movements and make buying or selling decisions based on those predictions.