If P(A) = P(A|B), Then Events a and B Are

question 57

Multiple Choice

If P(A) = P(A|B) , then events A and B are said to be:

• A) mutually exclusive
• B) independent
• C) exhaustive
• D) complementary

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Definitions:

Contribution Margin Ratio

A financial metric used to analyze the profitability of a product, calculated as (Sales - Variable Costs) / Sales.

Target Profit

Pre-determined earnings a company aims to achieve within a specific period.

Units Sold

The total number of product units that have been sold during a specific period.

Degree of Operating Leverage

A ratio that measures the effect of a change in sales on operating income by analyzing fixed versus variable costs.