Instruction 10-5
to Test the Effectiveness of a Business School

question 43

Multiple Choice

Instruction 10-5
To test the effectiveness of a business school preparation course,8 students took a general business test before and after the course.The results are given below.
$$\begin{array} { c c c } \text { Student } & \begin{array} { c } \text { Exam Score } \\\text { Before Course (1) }\end{array} & \begin{array} { c } \text { Exam Score } \\\text { After Course (2) }\end{array} \\\hline { 3 - 3 } 2 & 530 & 670 \\2 & 690 & 770 \\3 & 910 & 1,000 \\4 & 700 & 710 \\5 & 450 & 550 \\6 & 820 & 870 \\7 & 820 & 770 \\8 & 630 & 610\end{array}$$
-Referring to Instruction 10-5,the value of the sample mean difference is ________ if the difference scores reflect the results of the exam after the course minus the results of the exam before the course.

• A)400
• B)50
• C)68
• D)0

---

Definitions:

Maturity

The time at which the principal or final payment of a financial instrument, such as a bond or loan, is due to be paid in full.

Interest Rate

The amount charged by lenders to borrowers for the use of money, expressed as a percentage of the principal, typically on an annual basis.

Compensating Balance

A minimum account balance that a company agrees to maintain in a bank account, often to qualify for favorable terms on a loan from the bank.

Effective Rate

The interest rate on a loan or investment, adjusted for the compounding period, providing a true reflection of financial costs or returns.