Estimates Using the Arithmetic Average Will Probably Tend to _____

question 18

Multiple Choice

Estimates using the arithmetic average will probably tend to _____ values over the long-term while estimates using the geometric average will probably tend to _____ values over the short-term.

• A) overestimate; overestimate
• B) overestimate; underestimate
• C) underestimate; overestimate
• D) underestimate; underestimate
• E) accurately; accurately

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Definitions:

Justice

The principle or ideal of fairness and moral righteousness, especially in the administration of the law.

Chancellor

A high-ranking official in certain legal or educational institutions, or a judge in courts of equity.

Juror

A member of a jury, which is a group of people called to render a verdict in a legal case based on evidence presented during a trial.

Appellee

The party against whom an appeal is taken—that is, the party who opposes setting aside or reversing the judgment. Sometimes referred to as the respondent.