A Company Has Determined That the Mean Number of Days

question 25

Multiple Choice

A company has determined that the mean number of days it takes to collect on its accounts receivable is 36 with a standard deviation of 11 days. The company plans to select a random sample of n = 12 accounts and compute the sample mean. Which of the following statements holds true in this situation?

• A) There is no way to determine what the mean of the sampling distribution is without knowing the specific shape of the population.
• B) The sampling distribution will have the same distribution as the population, provided that the population is not normally distributed.
• C) The sampling error will be larger than if they had sampled n = 64 accounts.
• D) The sampling distribution may actually be approximately normally distributed depending on what the population distribution is.

Distinguish between different types of property (abandoned, lost, mislaid, stolen) and their legal treatments.

Comprehend the concepts of bailment in scenarios involving personal property left in commercial establishments and the obligations of the parties involved.

Understand the legal implications of commingled fungible goods and the distribution of rights among contributors.

Grasp the principles governing the transfer of ownership through voluntary transfer, finding, creation, and confusion.

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Definitions:

Recognized Gain

The portion of a capital gain that must be reported as income for tax purposes.

Excluded Gain

Profit from the sale of an asset that can be exempt from taxes, often related to home sales under specific Internal Revenue Code sections.

Recognized Gain

The portion of a capital gain on which taxes must be paid, typically realized when an asset is sold for more than its purchase price.

Adjusted Basis

The original cost of a property plus improvements and minus depreciation or damages, used to calculate capital gains or losses.