Concept explainers
The Internal Revenue Service (IRS) provides a toll-free help line for taxpayers to call in and get answers to questions as they prepare their tax returns. In recent years, the IRS has been inundated with taxpayer calls and has redesigned its phone service as well as posting answers to frequently asked questions on its website (The Cincinnati Enquirer, January 7, 2010). According to a report by a taxpayer advocate, callers using the new system can expect to wait on hold for an unreasonably long time of 12 minutes before being able to talk to an IRS employee. Suppose you select a sample of 50 callers after the new phone service has been implemented; the sample results show a
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Modern Business Statistics with Microsoft Office Excel (with XLSTAT Education Edition Printed Access Card) (MindTap Course List)
- Oxford University in England is one of the oldest and most prestigious universities in the world. In 1902, a trust was set up to provide academic awards to American college graduates so they could attend Oxford. The Rhodes Scholarship was named after the primary benefactor of the award, Cecil Rhodes, a British philanthropist who wished to bring students from throughout the world to study at Oxford. Along with an endowment from Rhodes's will, the scholarship continues to be funded by generous benefactors including Canadian businessman John MacBain, who donated almost $120 million dollars to expand the program. The first class of American Rhodes Scholars entered Oxford in 1904. Applying for the Rhodes Scholarship is a rigorous process. Students who wish to apply must first be endorsed by their university. In 2014, 1600 students asked for endorsement but only 877 received it. The strongest applicants are then invited to appear for an interview. Rhodes Scholars are selected based on…arrow_forwardDuring his short stint as Shadow Finance Minister, Barnaby Joyce displayed a curious grasp of numbers. One of his most infamous exclamations was “All this billions, quillions, Brazilians.” Less well known was his tax-reform proposal, recommending that if you earn $x per day, you are taxed x% of that amount (with the understanding that you pay 100% tax if you earn $100 or more per day. Under Senator Barnaby’s plan, which amount x gives you the highest earnings after tax has been taken out?arrow_forwardHelen Hutchins and Greg Haglund took the elevator together to the fourth-floor meeting room, where they were scheduled to meet the rest of the market research team at the Franklin Company. On the way up, Helen mentioned that she had terminated her contract for the land-line telephone in her apartment and was going to be using her cell phone exclusively to save money. “I rarely use my house phone anymore and about the only calls I get are from organizations wanting donations or doing surveys,” she said. Greg said that he and his wife were thinking about doing the same thing. As Helen and Greg walked toward the meeting room, Helen suddenly stopped. “If everyone did what I am doing, wouldn’t that affect our marketing research telephone surveys?” she asked. “I mean, when we make calls the numbers are all to land-line phones. Won’t we be missing out on some people we should be talking to when we do our surveys?” Helen continued. Greg indicated that it could be a problem if very many people…arrow_forward
- Texas is home to more than one million undocumented immigrants, and most of them are stuck in low-paying jobs. Meanwhile, the state also suffers from a lack of skilled workers. The Texas Workforce Commission estimates that 133,000 jobs are currently unfilled, many because employers cannot find qualified applicants (The Boston Globe, September 29, 2011). Texas was the first state to pass a law that allows children of undocumented immigrants to pay in-state college tuition rates if they have lived in Texas for three years and plan to become permanent residents. The law passed easily back in 2001 because most legislators believed that producing college graduates and keeping them in Texas benefits the business community. In addition, since college graduates earn more money, they also provide the state with more revenue. Carol Capaldo wishes to estimate the mean hourly wage of workers with various levels of education. She collects a sample of the hourly wages (in $) of 30 workers with a…arrow_forwardWhat are some advantages and disadvantages for a customer to use credit cards.arrow_forwardA proposed income tax charges 10% on a person's income up to $25,000 and then 20% on income above that. If a person has income of $60,000, what will their income tax be under the proposal?arrow_forward
- Internal auditors are often used to review an organization’s financial statements, such as balance sheets, income statements, and cash flow statements, prior to public filings. Auditors seek to verify that the financial statements accurately represent the financial position of the organization and that the statements follow accepted accounting principles. Many errors that are discovered by auditors are minor errors that are easily corrected. However, some errors are serious and require substantial time to rectify. Suppose that the financial statements of 567 public companies are audited. The following table contains the number of errors discovered during the internal audit of each of 567 these public companies that were classified as “serious.” Number of Serious Errors (x) Frequency 0 237 1 93 2 52 3 40 4 80 5 56 6 7 Number of Serious Errors (x) Frequency Probability f(x) 0 237 1 93 2 52 3 40 4 80…arrow_forwardBruce had a disagreement with a new federal agency set up to give additional funds for college to individuals with an aptitude for math. After a hearing, the agency determined that Bruce had no aptitude for math and that he would not receive any funding. Bruce, however, was not discouraged. He told his friend Laura, who just graduated from law school, that he would simply appeal the decision to federal court, have the judge do a fresh review, and provide additional information to the judge regarding his math aptitude that the agency did not have. He feels certain that he will win at the federal court level. Assuming the decision by the administrative agency was a factual finding, what should Laura tell Bruce regarding the standard of review the administrative agency will likely apply?That the agency will likely apply a de novo, or new, review.That the agency will likely apply an arbitrary and capricious standard in any review.That the agency will likely apply a substantial evidence…arrow_forwardA real estate investment trust (REIT) owns first-class office properties in selected markets. According to its website, the occupancy rates last year for its holdings in four major cities are available below. Complete parts a through c below.arrow_forward
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