At a Certain University, 70% of the Students Own Cars

question 211

Essay

At a certain university, 70% of the students own cars. However, only 45% of the residence
hall students own cars. Are the events owning a car and living in a residence hall
independent? Explain.

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Definitions:

Ownership Interest

Represents the percentage of an entity owned by a specific investor or shareholders.

Equity Method

An accounting technique used to record investments in which an investor has significant influence but does not have majority control, representing the investment's value based on the investor's share of the investee's equity.

Open Market

A system where securities, commodities, or currencies are traded freely between buyers and sellers, with prices based on supply and demand.

Common Shares

Equity securities that represent ownership in a company, entitling holders to a share of the corporation's profit via dividends and voting rights.