Mean Profit
a Report Stated That the Mean Profit Margin

question 82

Short Answer

Mean Profit
A report stated that the mean profit margin of 1000 publicly held corporations is 7.5 percent and the standard deviation is 5.1 percent.Profit margins appear normally distributed.A financial analyst sampled 100 of these companies to test whether or not the mean and standard deviation are as stated.The sample results were: $$\begin{array} { | l | c | } \hline \text { Category } & \text { Frequency } \\\hline \text { Under } 2 & 6 \\2 - \text { under } 6 & 32 \\6 \text {-under } 10 & 34 \\10 \text {-under } 14 & 14 \\14 \text {-under } 18 & 6 \\18 \text { or more } & 8 \\\hline\end{array}$$
-What is the expected frequency of the 18 or more category?

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Definitions:

Cognitive Development Theory

A theory that emphasizes the role of active and progressive mental processes in learning and development, often associated with the work of Jean Piaget.

Intuitionist Theory

A philosophical theory suggesting that moral judgments are made based on intuition or innate feelings rather than conscious reasoning.

Self-interest

The motivation to pursue one's own welfare or benefit.

Preconventional Morality

The first level in Kohlberg’s theory of moral development, where moral reasoning is based primarily on external consequences and rewards.