Use the Following to Answer the Question(s) Below

question 43

Multiple Choice

Use the following to answer the question(s) below.
Insurance company records indicate that 10% of its policyholders file claims involving theft or robbery of personal property from their homes. Suppose a random sample of 400 policyholders is selected.
-The standard deviation of the sampling distribution of the sample proportion of policyholders filing claims involving theft or robbery of personal property from their homes is

• A) 0.000225.
• B) 0.25.
• C) 0.0455.
• D) 0.1667.
• E) 0.015.

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Definitions:

Gains From Trade

Gains from trade are the benefits obtained by countries or individuals from engaging in international trade, allowing them to consume or produce beyond their domestic capabilities.

Factor Market

A marketplace where factors of production (land, labor, capital, entrepreneurship) are bought and sold, affecting the prices and allocation of these resources.

Resource

Anything, such as land, labor, and capital, that can be used to produce something else; includes natural resources (from the physical environment) and human resources (labor, skill, intelligence).

Circular-Flow Diagram

A visual model that depicts how goods, services, and money move through an economy, illustrating the interactions between households and firms.