The Complement Rule States That the Probability of an Event

question 53

True/False

The complement rule states that the probability of an event not occurring is equal to 1 minus the probability of its occurrence.

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Definitions:

Single-Step Income Statement

A simplified income statement that calculates net income or loss by subtracting total expenses from total revenues in one step.

Multiple-Step

An income statement format that segregates operating revenues and expenses from non-operating revenues, expenses, gains, and losses.

Revenues

Revenue that comes from regular business activities, factoring in discounts and allowances for products that are returned.

Expenses

The outflows or using up of assets or incurring of liabilities during a period from delivering goods, rendering services, or carrying out other activities that constitute the entity’s ongoing major operations.