Which of the Following Is a Reason Why the Size

question 34

Multiple Choice

Which of the following is a reason why the size of the data set is important to apply Benford's Law?

• A) Large data sets often have more irregularities than small data sets.
• B) It is easier to test small data sets for frequencies of digits, both lower and higher.
• C) It is more difficult to identify significant deviations from Benford's profile in small data sets.
• D) The results of tests on large data sets are not as precise as the results of tests on small data sets.

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Definitions:

Expected Return

The anticipated average return of an investment over a specific period, considering various probable outcomes.

Realized Return

The actual gain or loss experienced on an investment, calculated by taking the difference between the selling price and the purchase price.

Term Life

Term life is a type of life insurance policy that provides coverage at a fixed rate of payments for a limited period, known as the relevant term.

Death Benefit

The sum paid to a beneficiary upon the insured’s death, provided through a life insurance policy.