Which of the Following Is an Advantage of a Confidence

question 119

Multiple Choice

Which of the following is an advantage of a confidence interval estimate over a point estimate for a population parameter?

• A) Interval estimates are more precise than point estimates.
• B) Interval estimates are less accurate than point estimates.
• C) Interval estimates are both more accurate and more precise than point estimates.
• D) Interval estimates take into account the fact that the statistic being used to estimate the population parameter is a random variable.

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Definitions:

Closing

The process of finalizing accounts at the end of an accounting period by transferring balances to permanent accounts.

Cost of Goods Sold

The direct costs attributable to the production of goods sold by a company, including materials and labor.

Standard Costs

Predetermined costs to manufacture a single unit of product, serving as a benchmark for measuring performance.

IMA

Stands for the Institute of Management Accountants, a professional organization that promotes the practice of management accounting and financial management.