Mary Ann Is Trying to Decide Whether to Fly to Florida

question 20

Multiple Choice

Mary Ann is trying to decide whether to fly to Florida or New York. The cost of her ticket will be the same either way. The cost of the ticket is an example of:

• A) sunk cost.
• B) opportunity cost.
• C) avoidable cost.
• D) irrelevant cost.

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Definitions:

Sample Mean

The average value of a sample subset of a larger population, used as an estimate of the population mean.

Point Estimate

A single value estimate for a population parameter derived from a sample.

Population Mean

The average value of a population's characteristics.

Standard Deviation

A statistical metric that quantifies the variation or dispersion of a set of data points from the mean.