A Survey of Households in a Small Town Showed That

question 30

Multiple Choice

A survey of households in a small town showed that in 850 of 1,200 sampled households,at least one member attended a town meeting during the year. Using the 99% level of confidence,what is the confidence interval for the proportion of households represented at a town meeting?

• A)[0.674,0.742]
• B)[0.655,0.705]
• C)[0.665,0.694]
• D)[0.679,0.680]

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Definitions:

FIFO Cost Flow Assumption

An inventory valuation method where goods purchased first are the first sold, assuming costs are charged in the order in which they are incurred.

LIFO Cost Flow Assumption

An inventory valuation method that assumes the last items added to inventory are the first sold, affecting the cost of goods sold and ending inventory value.

Lower of Cost or Market

A valuation rule that requires inventory to be recorded at the lower of the original cost or the current market value.

Periodic Inventory System

An inventory accounting system where the inventory count is physically conducted at specific periods, leading to adjustments in the accounts at each period end.