In the confidence interval formula for sample size, the symbol e represents:

A) efficiency of the sample (desired accuracy given the cost)
B) sample frame error
C) acceptable error (desired accuracy level)
D) elasticity
E) none of the above; the formula has no e

C

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If a company learns from successes based on trial and error, a vision emerges.

a. true b. false

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A one-year zero-coupon bond yields 4.0%. The two- and three-year zero-coupon bonds yield 5.0% and 6.0% respectively. The one-year spot rate r(1) = 4%, the forward rate for a one-year loan beginning in one year is 6%, and the forward rate for a one-year loan beginning in two years is 8%. Which of the following rates is closest to the three-year spot rate?

A. 4.0% B. 6.0% C. 8.0%

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