A Student Reports That, of a Simple Random Sample of 100

question 23

Multiple Choice

A student reports that, of a simple random sample of 100 college undergraduates, 54% were female and 49% were male. We know that the student has made a mistake because

• A) it is highly unlikely that there are more females than males at the college.
• B) 54% plus 49% equals 103%, which exceeds 100% (everyone in the sample).
• C) the student should've also included graduate students.
• D) the percentages of males and females should be further apart.

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Definitions:

Actual Reserves

The total amount of funds that a bank has held in reserve, both required and excess, to meet its liabilities.

Required Reserves

Minimum vault cash or reserves; held at the Federal Reserve District Bank.

Federal Open Market Committee

The branch of the Federal Reserve System that is responsible for setting the direction of monetary policy by buying and selling government securities.

Fed's Governing Board

The main governing body of the Federal Reserve, responsible for setting monetary policy and overseeing the operations of the Federal Reserve Banks.