If a researcher were conducting a paired difference experiment for a sample size of 100, and a 90% confidence interval, which of the following test statistics would he/she use for a two-tailed test?

• A.z0.05 = 1.645
• B.z0.1 = 1.28
• C.t0.05 = 1.66

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Suppose that stocks A, B, C, and D are independent with respect to their price movement, and have probabilities of increasing of 0.25, 0.50, 0.40, and 0.30. What is the probability that stocks A and C will increase in price, while stocks B and D fail to increase?

• A.10%.
• B.2.5%.
• C.3.5%.

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The formula for joint probability is given by:

• A.P(AB) = P(A | B) / P(B)
• B.P(AB) = P(A | B) * P(B)
• C.P(AB) = P(A | B) / [P(B) * P(A)]

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Which of the following best describes the relationship between revenue and retained earnings?

• A.Revenue represents the price of goods sold or services rendered; retained earnings represents cash available for paying dividends.
• B.Revenue increases net income, which in turn increases retained earnings.
• C.Revenue represents a cash receipt; retained earnings is an element of stockholders' equity.

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What is the best way to avoid data-snooping bias?

• A.Examine fresh data, if available.
• B.Ignore the prior research of others until after you do your own study.
• C.Remove snooped data from your own analysis.

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