If Two Events a and B Are Mutually Exclusive, What

question 58

Multiple Choice

If two events A and B are mutually exclusive, what does the special rule of addition state?

• A) P(A or B) = P(A) + P(B)
• B) P(A and B) = P(A) + P(B)
• C) P(A and/or B) = P(A) + P(B)
• D) P(A or B) = P(A) - P(B)

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Definitions:

Fund Financial Statements

Financial reports that detail the income, expenditures, and other financial activities of a particular fund within an organization.

Incremental Borrowing Rate

The interest rate a lessee would have to pay to borrow under a similar term, and with similar security, the funds necessary to obtain an asset lease.

Net Position

The difference between the total assets and total liabilities of an entity, representing its net worth or equity value.

Fund Balance

The net assets of a government fund, calculated as the difference between the fund's assets and liabilities, indicating the financial health or resources available to the fund.