Table 13-2 A New Young Mother Has Opened a Cloth Diaper Service.She

question 71

Multiple Choice

Table 13-2
A new young mother has opened a cloth diaper service.She is interested in simulating the number of diapers required for a one-year-old.She hopes to use this data to show the cost effectiveness of cloth diapers.The table below shows the number of diapers demanded daily and the probabilities associated with each level of demand.

-According to Table 13-2, if the random number 40 were generated for a particular day, what would the simulated demand be for that day?

• A)5
• B)6
• C)7
• D)20

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Definitions:

Par Value

The face value of a share of stock, as stated in the corporate charter, which may be unrelated to its market value.

No-Par Value Stock

Stock issued without a specified face value but which may have a stated value assigned by the company.

Stated Value

The value assigned to no-par-value stock by the board of directors of a company, which can then be used as the basis for accounting and legal purposes.

Dividends in Arrears

Unpaid dividends on cumulative preferred stock, which must be paid out before any dividends can be issued on common shares.