A Random Sample of 500 Reports an Average Yearly Income

question 2

Multiple Choice

A random sample of 500 reports an average yearly income of $42,000 with a standard deviation of $1000.An estimate of the parameter at the 95% level is about $175 wide.In this research situation,

• A)the parameter is $42,000.
• B)the sample is unrepresentative.
• C)the alpha level is 0.05.
• D)the sample mean is $175.

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Definitions:

Common Stock

Equity securities that represent ownership in a corporation, with voting rights and potential for dividends.

Consolidated Equipment

Assets that are combined from different departments or subsidiaries within a company for reporting purposes, often in the context of financial statements.

Fair Values

A financial term indicating the estimated market value of an asset or liability, based on current prices in an active market.