Sample Size (N)is Related to the Degree of the Confidence

question 35

Multiple Choice

Sample size (n) is related to the degree of the confidence (1-alpha) in that the

• A)larger the degree of confidence,the larger the sample size.
• B)smaller the degree of confidence,he larger the sample size.
• C)sample size would be the same irrespective of the degree of confidence.
• D)sample size formula is related to z and not to the degree f confidence.
• E)None of the above.

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Definitions:

Confirmation Bias

The tendency to search for, interpret, favor, and recall information in a way that confirms one's preexisting beliefs or hypotheses.

Representativeness Heuristic

A cognitive bias in which an individual categorizes a situation based on patterns of previous experiences or beliefs about the scenario.

Over-Confidence

A psychological condition where an individual overestimates their knowledge, skill, or importance.

Noise Trader

A trader whose trades are not based on information or meaningful financial analysis.