An Urn Contains 12 Balls, Five of Which Are Red

question 56

Multiple Choice

An urn contains 12 balls, five of which are red. Selection of a red ball is desired and is therefore considered to be a success. If three balls are selected, what is the expected value of the distribution of the number of selected red balls?

• A) 0.4167
• B) 0.8333
• C) 0.5833
• D) 1.2500

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Definitions:

Holding Cost

The cost associated with keeping inventory in storage, including expenses such as warehousing, insurance, and spoilage.

Product Storage

The act of keeping goods or materials in a designated space until they are needed for usage or sale.

Waste

Unwanted or unusable materials, substances, or by-products produced through human activity or industrial processes.

Long-term Contracts

Agreements between two or more parties for the supply of goods or services over an extended period.