The URS Construction Company Has Submitted Two Bids, One to Build

question 23

Multiple Choice

The URS construction company has submitted two bids, one to build a large hotel in London and the other to build a commercial office building in New York City. The company believes it has a 40% chance of winning the hotel bid and a 25% chance of winning the office building bid. The company also believes that winning the hotel bid is independent of winning the office building bid. What is the probability the company will win at least one contract?

• A) 0.55
• B) 0.45
• C) 0.10
• D) 0.75

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Definitions:

Installment Plan

A method of payment of a purchase or services over a period of time.

Finance Charge

A fee representing the cost of credit or the cost of borrowing, including interest and other associated expenses.

Down Payment

An upfront payment made when purchasing an item or property, typically a percentage of the total purchase price, signifying the buyer's commitment.

Entertainment Expenses

Costs incurred for activities that provide amusement or enjoyment, often scrutinized for tax deduction purposes.