Recently, a University Surveyed Recent Graduates of the English Department

question 23

Multiple Choice

Recently, a university surveyed recent graduates of the English Department for their starting salaries. Four hundred graduates returned the survey. The average salary was $55,000. The population standard deviation is known to be $2,500. What is the 90% confidence interval for the mean salary of all graduates from the English Department?

• A) 5,497, $55,039
• B) 54,794, $55,206
• C) 54,671, $55,329
• D) 54,961, $5,539
• E) 54,800, $55,200

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Definitions:

Financial Leverage

Applying borrowed resources to escalate the potential profits of an investment.

EPS

Earnings Per Share, a measure of a company's profitability that divides its net profit by the number of outstanding shares.

ROE

Return on Equity; a measure of financial performance calculated by dividing net income by shareholders' equity, indicating how efficiently a company uses its assets to generate profit.

ROCE

Return on Capital Employed, a financial ratio that measures a company's profitability and the efficiency with which its capital is used.