If X and Y Are Random Variables with Var(X)= 7

question 123

Multiple Choice

If X and Y are random variables with Var(X) = 7.5,Var(Y) = 6 and Cov(X,Y) = 4,then Var(2X + 3Y) is:

• A)33
• B)37
• C)88
• D)132

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Definitions:

Deferred Tax Liability

A tax obligation that a company owes in the future due to temporary differences between its financial accounting and tax accounting practices.

Indirect Method

A method used in cash flow statements to adjust net income for non-cash transactions and changes in working capital to calculate cash flow from operating activities.

Indirect Method

A way of preparing the cash flow statement where net income is adjusted for changes in balance sheet accounts to calculate cash flow from operating activities.

Inventory Adjustment

Inventory adjustment is the process of altering the book value of inventory to match the actual physical inventory, accounting for discrepancies, losses, or damages.