A System Consists of Two Components, Each of Which Must

question 10

Multiple Choice

A system consists of two components, each of which must activate if the system is to activate. One component has a reliability of .99. The other has a reliability of .95. The components are independent of one another with respect to reliability. What is the overall system reliability?

• A) .99
• B) .95
• C) .94
• D) .90
• E) Cannot be determined with this information.

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Definitions:

Average Operating Assets

The average value of a company's assets used in day-to-day operations over a specific period, used in calculating rates of return.

Sales

The total amount of goods or services sold by a company within a certain period of time.

Minimum Required Rate Of Return

The lowest return on an investment that a investor is willing to accept, considering the risk involved.

Average Operating Assets

The average value over a period of time of assets utilized in the daily operations of a business, crucial for assessing performance.