Compute At-Least Probabilities
-The Probability That a Region Prone to Hurricanes

question 36

Multiple Choice

Compute At-least Probabilities
-The probability that a region prone to hurricanes will be hit by a hurricane in any single year is $\frac { 1 } { 10 }$ . What is the probability of a hurricane at least once in the next 5 years?

• A) \(0.40951\)
• B) \(\frac { 1 } { 2 }\)
• C) \(0.99999\)
• D) \(0.00001\)

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Definitions:

Accumulated Depreciation

The total amount of depreciation expense that has been recorded for an asset since it was acquired, reflecting its loss of value over time.

Historical Cost

is the original monetary value of an asset or investment at the time of its acquisition, without adjustments for inflation or market fluctuations.

Common-Size Balance Sheet

A financial statement that presents all items as percentages of a common base figure rather than absolute numerical figures, facilitating comparison.

Shareholders' Equity

The residual interest in the assets of a corporation that remains after deducting liabilities, representing the ownership interest of shareholders.