Given an Urn Containing 3 Red Balls and 4 White

question 27

Multiple Choice

Given an urn containing 3 red balls and 4 white balls. If two balls are drawn and the first ball is not replaced before the second is drawn, what is the probability that both balls are red?

• A) 2/7
• B) 7/12
• C) 1/6
• D) 1/7
• E) 1/5

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Definitions:

Variable Overhead Efficiency Variance

A measure of the efficiency with which variable overhead resources are utilized, calculated by comparing the actual usage against the budgeted or standard usage.

Standard Price

A predetermined cost assigned to materials, labor, and overhead used in budgeting and variance analysis.

Direct Materials

Components that are directly associated with the creation of a product and form a crucial part of the completed item.

Materials Quantity Variance

The difference between the actual quantity of materials used in production and the standard quantity allowed for the actual output, multiplied by the standard price per unit of materials.