Determine Whether the Following Is a Probability Distribution

question 11

Short Answer

Determine whether the following is a probability distribution. If not, identify the requirement
that is not satisfied.
$\begin{array} { c | r } \boldsymbol { x } & \boldsymbol { P } ( \boldsymbol { x } ) \\\hline 0 & 0.1296 \\1 & 0.3456 \\2 & 0.3456 \\3 & 0.1536 \\4 & 0.0256\end{array}$

---

Definitions:

Overhaul Costs

Expenses associated with major repairs or the restoration of equipment to ensure it operates efficiently.

Operating Costs

Expenses associated with the day-to-day functions of a business, excluding costs directly related to producing goods or services.

Profitability Index

A financial tool that calculates the ratio of the present value of future expected cash flows to the initial investment cost.

Working Capital

A disparity between a firm's current holdings and its outstanding obligations, signifying its short-term economic fitness and effectiveness in functioning.