A Statistical Analysis Is Internally Valid If

question 56

Multiple Choice

A statistical analysis is internally valid if

• A)all t-statistics are greater than |1.96|
• B)the regression R² > 0.05
• C)the population is small, say less than 2,000, and can be observed
• D)the statistical inferences about causal effects are valid for the population studied

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Definitions:

Adjustment

A change made to the book value of an asset or liability to accurately reflect its value.

Subsidiary

A company that is completely or partly owned and partly or wholly controlled by another company.

FIFO Inventory Reporting

An approach to reporting inventory where the oldest stock is recorded as sold first; reiterates the First-In, First-Out method in financial statements.

Consistent Application

The principle that accounting rules and methods should be applied the same way in each accounting period to ensure comparability of financial statements.