Find the Indicated Probability

question 12

Multiple Choice

Find the indicated probability
-Assume that a study of 300 randomly selected school bus routes showed that 272 arrived on time. Is it "unusual" for a school bus to arrive late?

• A)Yes
• B)No

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Definitions:

Prepaid Insurance

Prepaid insurance represents payments made for insurance coverage periods that have not yet occurred, and is recorded as an asset on the company's balance sheet.

Insurance Expense

The cost associated with purchasing insurance policies to protect a business from certain risks, recorded as an expense.

Adjusting Entry

Adjusting entries are journal entries made in accounting to update ledger accounts at the end of a reporting period, ensuring that revenues and expenses are recognized in the period they occur.

Insurance Policy

A contract between an insurer and a policyholder that specifies the terms for the payment of claims in the event of a covered loss.