Dr Patton Is a Professor of English

question 57

Multiple Choice

Dr. Patton is a professor of English. Recently she counted the number of misspelled works in a group of student essays. She noted the distribution of misspelled words per essay followed the normal distribution with a standard deviation of 2.44 words per essay. For her Tuesday class of 44 students, the mean number of misspelled words per essay was 6.05. Construct a 90% confidence interval for the mean number of misspelled words in the population of student essays.

• A) 5.374 to 6.726
• B) 5.161 to 6.939
• C) 5.102 to 6.998
• D) 5.482 to 6.618
• E) 5.445 to 6.6551

---

Definitions:

WACC

Weighted Average Cost of Capital, a calculation that reflects the average rate of return a company is expected to pay its securities holders, balancing the cost of equity and debt financing.

Cost Of Equity

The return a company is expected to offer to its shareholders to compensate for the risk they undertake by investing in it.

Debt Capital Structure

The composition of a company's liabilities and equity used to finance its operations and growth, particularly focusing on the proportion of debt used.

Target Capital Structure

The optimal mix of debt, equity, and other financing sources a company aims to achieve for financing its operations and growth.