Question: Suppose in the previous question that the analyst had randomly chosen 12 CEO compensations for 2006. a. Is it necessary to apply the finite population

Suppose in the previous question that the analyst had randomly chosen 12 CEO compensations for 2006.

a. Is it necessary to apply the finite population correction factor? Explain.

b. Is the sampling distribution of the sample mean approximately normally distributed? Explain.

c. Calculate the expected value and the standard error of the sample mean.

d. Can you use the normal approximation to calculate the probability that the sample mean is more than $12 million? Explain.


Step by Step Solution

★★★★★

3.44 Rating (167 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

a No it is not necessary because the sample size accounts for less than 5 percent o... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Document Format (1 attachment)

Word file Icon

391-M-S-S-D (458).docx

120 KBs Word File

Students Have Also Explored These Related Statistics Questions!

Q:

Suppose that the purchase amounts in the previous question were coded as Small if less than $5, Typical if between $5 and $20, and Large if more than $20. Would a bar chart be useful? How should the...

Q:

Is it necessary to report illegal income (such as embezzled money) on income tax returns?

Q:

In general, when is it necessary to write down property, plant, and equipment? How can we determine the value to which it should be written down?

Q:

QUESTION 5 The issues surrounding the levels and structure of executive compensation have gained added prominence in the wake of the financial crisis that erupted in the fall of 2008. Based on the...

Q:

10. The issues surrounding the levels and structure of executive compensation have gained added prominence in the wake of the financial crisis that erupted in the fall of 2008. Based on the 2006...

Q:

Please show all information, thank you A random sample is drawn from a population with mean / = 54 and standard deviation o= 4.5. [You may find it useful to reference the z table.] a. Is the sampling...

Q:

The issues surrounding the levels and structure of executive compensation have gained added prominence in the wake of the financial crisis that erupted in the fall of 2008. Based on the 2006...

Q:

The issues surrounding the levels and structure of executive compensation have gained added prominence in the wake of the financial crisis that erupted in the fall of 2008. Based on the 2006...

Q:

The issues surrounding the levels and structure of executive compensation have gained added prominence in the wake of the financial crisis that erupted in the fall of 2008. Based on the 2006...

Q:

Suppose in the previous question th e analyst had random ly chosen 12 CEO com pensations for 2006. a. Is it necessary to apply th e finite population correction factor? Explain. b. Is th e sam pling...

Q:

Use the relative positions of the elements in the periodic table to classify the following substances as ionic or covalent: a. F2 b. SiF4 c. CH4 d. O2 e. CaCl2 f. NaI g. NaBr h. ClF

Q:

1. What would you do, if you were Chang? Support your decision. 2. Is there anything Chang should do in the future to avoid, or at least anticipate, such a situation? 3. What lesson should Chang...

Q:

14. The speeds of 100 bicycles on a cycling lane at a particular park are recorded. The cumulative frequency curve below shows the speed u km/h, and the number of bicycles which travelled at a speed...

Q:

Saving helps people prepare for expenses that more money than they usually spend.

Q:

Range Rule of Thumb for Unusual Events Use the range rule of thumb with the results from Exercise 19 to identify a range of values containing the usual numbers of car failures among six cars tested....

Q:

Using Probabilities for Unusual Events a. Find the probability of getting exactly three cars that fail among six cars tested. b. Find the probability of getting three or more cars that fail among six...

Q:

a. Find the probability of getting exactly one car that fails among six cars tested. b. Find the probability of getting one or fewer cars that fail among six cars tested. c. Which probability is...

Q:

You've collected the following information from your favorite financial website. a. Using the dividend yield, calculate the closing price, for Winter Sports on this day. Note: Do not round...

Q:

Ryan wants to retire in 1 0 years when he turns 6 5 but has determined he will need $ 1 , 0 0 0 , 0 0 0 to quit his job and live a lifestyle that is comfortable with him. He currently has $ 3 5 0 , 0...

Q:

Based on the cash flows given below, calculate the Pl of a project that has a required rate of return of 14 percent. Also, indicate whether the project should be accepted. (Round answer to 2 decimal...