Sampling Error Occurs When

question 64

Multiple Choice

Sampling error occurs when:

• A) a nonstatistical sample is used.
• B) the statistic computed from the sample is not equal to the parameter for the population.
• C) a random sample is used rather than a convenience sample.
• D) a confidence interval is used to estimate a population value rather than a point estimate.

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Definitions:

Stock Exchange

A marketplace where stocks and other securities are bought and sold, facilitating the transfer of securities among investors.

Initial Public Offering

The first sale of stock by a private company to the public, typically used to raise capital for expansion.

Common Shareholder

A common shareholder is an individual or entity that holds common stock in a corporation, granting them voting rights and a share in the company's profits through dividends.

Declare Dividends

The action by a company's board of directors to distribute a portion of the company’s earnings to its shareholders.