A Systematic Sample Does Not Qualify as a True Random

question 11

Multiple Choice

A systematic sample does not qualify as a true random sample because

• A)the first individual selected is not determined by a random process.
• B)the selections are not independent of each other.
• C)it does not use sampling with replacement.
• D)all of the other choices are correct.

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Definitions:

Net Operating Income

A company's revenue minus its operating expenses, not including taxes and interest, showing the profitability from regular business operations.

Average Operating Assets

The average amount of assets used during a period to generate operating income, useful in evaluating asset efficiency.

ROI

Return on Investment, a measure used to evaluate the efficiency or profitability of an investment, calculated as the net profit divided by the cost of the investment.

Residual Income

Residual income is the income that exceeds the minimum rate of return or cost of capital, often used in performance measurement and executive compensation.