THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING

question 221

Multiple Choice

THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING:
A basketball player makes 80 percent of his free throws during the regular season.Consider his next eight free throws.
-What is the probability that he will make at least six free throws?

• A)0.1468
• B)0.3355
• C)0.7969
• D)0.2936

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Definitions:

Nonrival Good

Good for which the marginal cost of its provision to an additional consumer is zero.

Marginal Social Cost

The additional cost to society of producing one extra unit of a good or service, considering both private costs and externalities.

Marginal Private Cost

The additional cost incurred by the producer for producing an extra unit of a good, not considering external effects.

Equilibrium

A state where market supply and demand balance each other, and, as a result, prices become stable.