The Life Expectancy of a Fluorescent Light Bulb Is Given

question 153

Multiple Choice

The life expectancy of a fluorescent light bulb is given by the number of hours that it will burn. From the frequency distribution below, find the mean life of this type of bulb. Please round your answer to the nearest tenth.  

• A) mean = 3,067.4 hours
• B) mean = 3,077.7 hours
• C) mean = 3,083.2 hours
• D) mean = 3,082.8 hours
• E) mean = 3,062.2 hours

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Definitions:

Discount Rate

The interest rate used to discount future cash flows of a financial instrument; a measure of the time value of money.

Discount Rate

The interest rate used in discounted cash flow analysis to determine the present value of future cash flows, reflecting the opportunity cost of capital.

Present Value

Today's value of a future monetary sum or cash flow sequence, determined using a predefined rate of return.

Future Cash Flows

The projected cash earnings or revenues a company expects to receive from its operations or investments in the future.