I a Probability Is Usually Expressed as a Decimal, Such

question 59

Multiple Choice

i. A probability is usually expressed as a decimal, such as 0.70 or 0.27, but it may be given as a
Fraction, such as 7/10 or 27/100.
ii. The closer a probability is to 0, the more likely that an event will not happen.
iii. The closer the probability is to 1.00, the more likely an event will happen.

• A) (i), (ii) and (iii) are all correct statements
• B) (i) is a correct statement but not (ii) or (iii).
• C) (i) and, (iii) are correct statements but not (ii).
• D) (ii) and, (iii) are correct statements but not (i).
• E) (i), (ii) and (iii) are all false statements.

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Definitions:

Allocate Overhead Costs

The process of assigning indirect costs to products, services, or business units based on relevant allocation bases.

Production Departments

Sections within a manufacturing facility where the actual production or assembly of goods takes place.

Activity-Based Costing

A method of accounting that assigns costs to products based on the amount of resources they consume.

Overhead Costs

Expenses related to the operation of a business that are not directly tied to a specific product or service.