As the Sample Size ______________ the Variation of the Sampling

question 58

Multiple Choice

As the sample size ______________ the variation of the sampling distribution of ___________.

• A)Decreases,decreases
• B)Increases,remains the same
• C)Decreases remains the same
• D)Increases,decreases
• E)None of the above

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Definitions:

Payback Period

The length of time required to recover the cost of an investment.

Economic Life

The estimated period over which an asset is expected to be economically useful to the owner.

Cost of Capital

The rate of return a company must earn on its investment projects to maintain its market value and attract funds.

Annual Rate of Return

The percentage of profit or loss on an investment over one year.