There Is a Huge Pile of Buttons in Which 28

question 2

Multiple Choice

There is a huge pile of buttons in which 28% are black,14% are blue,20% are orange,22% are white,and the rest are clear.You close your eyes,choose a button at random,write down what colour it is,and then put it back in the pile.What is the probability that the third button you choose is the first one that's clear?

• A)0.004
• B)0.022
• C)0.113
• D)0.593
• E)0.141

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Definitions:

Clientele Effect

A theory suggesting that certain stocks attract particular types of investors based on dividend policies or investment strategies.

Residual Dividend Policy

A policy where dividends paid to shareholders are set based on the earnings left over after all operational and expansion-related expenses are covered.

New-Stock Dividend

A new-stock dividend is a payment made by a corporation to its shareholders in the form of additional shares rather than cash.

Stock Repurchases

The act of a company buying back its own shares from the marketplace, reducing the amount of outstanding stock.