Solve the Problem $\frac { 1 } { 4 }$ B) $\frac { 1 } { 8 }$

question 116

Multiple Choice

Solve the problem.
-What is the probability of a dart landing in the shaded region? (Assume that the x's represent equal measures and that the dart is equally likely to land in any region on The board.)

• A) \(\frac { 1 } { 4 }\)
• B) \(\frac { 1 } { 8 }\)
• C) \(\frac { 3 } { 4 }\)
• D) \(\frac { 1 } { 2 }\)

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Definitions:

Present Value Index

A ratio used in capital budgeting to evaluate the profitability of investments by comparing the present value of future cash flows to the initial investment cost.

Compound Interest

Interest that is computed on both the initial amount of the deposit or loan and on the interest that has been added to that principal over past periods.

Desired Rate of Return

The minimum percentage return an investor expects to achieve by investing in a particular asset.

Present Value

The value today of a sum of money or cash flows expected in the future, discounted at a particular rate of return.