Which of the Following Is Correct About a Probability Distribution

question 109

Multiple Choice

Which of the following is correct about a probability distribution?

• A) The sum of all possible outcomes must equal 1.0.
• B) The outcomes must be mutually exclusive.
• C) The probability of each outcome must be between 0.0 and 1.0 inclusive.
• D) All apply.

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Definitions:

First-In, First-Out

An accounting method where the first items added to inventory are the first ones to be sold or removed, particularly relevant for cost calculation.

Equivalent Units

A concept used in process costing that represents the portion of finished units that would have been completed given the work done on incomplete units.

First-In, First-Out

An inventory valuation method that assumes goods or materials purchased first are sold or used first.

Conversion Costs

Costs incurred to convert raw materials into finished products, including direct labor costs and manufacturing overhead.