A Certain Type of New Business Succeeds 60% of the Time.Suppose

question 63

Multiple Choice

A certain type of new business succeeds 60% of the time.Suppose that 3 such businesses open
(where they do not compete with each other, so it is reasonable to believe that their relative
Successes would be independent) .Which of the following distributions would you use to
Determine the probability that all of them will fail?

• A) Binomial distribution.
• B) Poisson distribution.
• C) Normal distribution.
• D) Hypergeometric distribution.

Explain the concept and implications of oligopoly in economic structures.

Understand the quality of work life movement and its relevance to work and management.

Discuss the human relations school of management and its impact on work life.

Identify social barriers to entry into the primary labor market and propose solutions.

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Definitions:

Break-Even Point

The point where total costs and total revenues are equal, leading to no profit or loss from production or sales.

Fixed Costs

Costs such as rent, salaries, and insurance are invariant, unaffected by the quantity of production or sales.

Cost Volume Profit Analysis

A financial analysis method used to determine how changes in costs and volume affect a company's operating income and net income.

Cost Behaviours

The way in which different costs change in response to variations in the level of business activity or production volume.