A
Acadi
Fi
Courses
Knowledge Hub
Community
Practice
Pricing
About
Search
⌘K
Question Bank
/
CFA
/
Level I
/
Quantitative Methods
Quantitative Methods
Easy
A research team constructs a 95% confidence interval for the average P/E ratio of mid-cap stocks and reports [14.2, 17.8]. Which of the following is the most accurate interpretation?
A
If the sampling procedure were repeated many times, 95% of the constructed intervals would contain the true population mean P/E ratio.
B
There is a 95% probability that the true population mean P/E ratio lies between 14.2 and 17.8.
C
95% of all mid-cap stocks have P/E ratios between 14.2 and 17.8.
D
The sample mean P/E ratio falls between 14.2 and 17.8 with 95% certainty.
Select an answer to continue
Tags
#confidence-interval
#interpretation
#sampling
More Quantitative Methods questions
Start full Level I quiz