Suppose This Diagram Illustrates the Number of Women and Democrats

question 113

Essay

Suppose this diagram illustrates the number of women and Democrats in the U.S. Senate. We can see that 22 of the senators are women and 40 of the senators are democrats. since there are
100 senators this means that the probability of a senator being a woman is 0.22 and the probability
of a senator being a democrat is 0.4. If we try to use the addition rule, we'd conclude that the
probability of a senator being a woman or a Democrat is 0.22 + 0.4 = 0.62. How can we be sure that
this is incorrect?

Recognize the effect of activity levels on cost per unit and the importance of the relevant range in cost analysis.

Understand how mixed costs behave in response to changes in activity level.

Differentiate between variable and fixed costs, including their behavior within the relevant range.

Identify cost classifications within a company's cost structure.

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Definitions:

Simple Interest

Interest calculated only on the initial amount of money deposited or loaned, not on any interest accrued over time.

Ordinary Interest

Interest calculated based on a 360-day year, often used in banking for loans and savings.

Exact Interest

Interest calculated based on the actual number of days in a year or a specific time period, often used in financial transactions.

Exact Interest

A precise calculation of interest accrual that adheres strictly to the actual number of days in the calendar year, often set at 365 or 366 days.