Which of the Following About the Binomial Distribution Is Not

question 105

Multiple Choice

Which of the following about the binomial distribution is not a true statement?

• A)The probability of success must be constant from trial to trial.
• B)The random variable of interest is continuous.
• C)Each outcome may be classified as either "success" or "failure".
• D)Each outcome is independent of the other.

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Definitions:

Statement of Cash Flows

A financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents, dividing activities into operating, investing, and financing activities.

Dividend Reinvestment Scheme

A plan offered by a corporation that allows investors to reinvest their cash dividends by purchasing additional shares or fractional shares on the dividend payment date.

Cash Equivalents

Short-term, highly liquid investments that are readily convertible to known amounts of cash and close to their maturity.

Basis of Measurement

The specific basis chosen to measure various types of assets, liabilities, income, and expenses, such as historical cost, fair value, and amortized cost.