Which of the Following Is TRUE

question 25

Multiple Choice

Which of the following is TRUE?

• A)A sampling distribution is the probability distribution of elements from a particular sample.
• B)The "standard error of the mean" is the standard deviation of the sampling distribution of sample means.
• C)The sampling distribution of the mean is another name for the frequency distribution that results from a single sample.
• D)The sampling distribution of the mean is another name for the distribution of means corresponding to the samples that could be drawn under the specified sampling plan.
• E)Both b and d.

---

Definitions:

IPO

Initial Public Offering, the process by which a private company offers shares to the public for the first time.

Private Placement

An offering of securities not made through the public market, but rather directly to a select group of investors or institutions.

Firm Commitment Basis

An underwriting method where an underwriter agrees to buy all securities offered by the issuer and assumes full risk of selling them to investors.

Rights Offering

A strategy by which companies raise additional capital, by giving existing shareholders the right to purchase additional shares at a predetermined price, usually at a discount.