If a and B Are Independent Events with P(A) = $\cap$

question 26

Multiple Choice

If A and B are independent events with P(A) = 0.65 and P(A $\cap$ B) = 0.26, then, P(B) =

• A)0.400
• B)0.169
• C)0.390
• D)0.650

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Definitions:

Low-cost Producer

A manufacturer or service provider with a competitive advantage allowing them to offer goods or services at a lower price than competitors, often due to operational efficiencies.

Consumer Surplus

The variance between the aggregate amount consumers can and will pay for a good or service versus the amount they actually spend on it.

Producer Surplus

is the difference between what producers are willing to accept for a good or service versus what they actually receive.

Equilibrium Price

The price at which the quantity of a good or service demanded by consumers equals the quantity supplied by producers, resulting in a stable market.