In a Large Metropolitan Area,past Records Revealed That 30% of All

question 19

Multiple Choice

In a large metropolitan area,past records revealed that 30% of all the high school graduates go to college. From 20 graduates selected at random,what is the probability that exactly 8 will go to college?

• A)0.114
• B)0.887
• C)0.400
• D)0.231

---

Definitions:

Installment Payments

Payments made regularly over a period of time to settle a debt or purchase price.

Redemption

Redemption is the process of repurchasing or retiring a financial instrument, such as bonds or preferred stock, by the issuer before its maturity date.

Premium on Bonds Payable

The amount by which a bond's selling price exceeds its face value, reflecting higher interest earnings for the investor than the market rate.

Conversion

The process of changing assets from one form to another, such as the conversion of raw materials into finished goods.