1. The Base Rate problem is best defined as (see notes)
the inability to use reliable measures in your experiment.
the lack of a comparison group to make a valid inference about a group difference.
the reliance on authority to make an important decision.
social desirable responding.
the lack of statistical significance.
2. Michael invests $700 a year at the end of each year in an investment with a 8% rate of return which is compounded annually. What is the future value of this investment after 12 years?
$13,283.99
$5,275.25
$277.98
$1,762.72