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QUESTION NO: 1
The only grocery store in a town has recently seen its profits decrease. An executive at the grocery store has been challenged to find a way to reverse this trend without losing significant sales.
What is a possible technique the company can use to increase its producer surplus?
A. Raise prices on all goods sold
B. Advertise the products with the highest volumes sold
C. Raise prices for the products with the highest volumes sold
D. Charge a monthly fee to its customers and lower prices for its goods
Answer: D
QUESTION NO: 2
Exhibit: Based on the histogram below of 28 nations' performances in the Winter Olympic games, in which bin would the median be located?
A. 10
B. 20
C. 30
D. 40
Answer: C
QUESTION NO: 3
The standard deviation of a given population is 3.5 with a mean of 26. Assuming the population follows a normal distribution, approximately what percentage of the population will fall between
15.5 and 36.5?
A. 68.0%
B. 95.0%
C. 99.7%
D. 99.9%
Answer: C
QUESTION NO: 4
A manager learns that the government is planning to add an excise tax on the product the company sells. After researching, the manager expects that total expenditures for the good will rise.
Of the following goods, which does the company MOST likely sell?
A. Milk
B. Leather handbags
C. Ice cream
D. Raspberries
Answer: A
QUESTION NO: 5
Assuming the confidence level remains constant, what happens to the width of the confidence interval as the sample size increases?
A. The confidence interval widens.
B. The confidence interval narrows.
C. The confidence interval remains unchanged.
D. It is not possible to determine the changes without seeing the data first.
Answer: B
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Updated: May 26, 2022