When a Continuous Probability Distribution Is Used to Approximate a Discrete

question 78

Multiple Choice

When a continuous probability distribution is used to approximate a discrete probability distribution

• A)a value of 0.5 is added and/or subtracted from the area
• B)a value of 0.5 is added and/or subtracted from the value of x
• C)a value of 0.5 is added to the area
• D)a value of 0.5 is subtracted from the area

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Definitions:

Revenues Dropped

A situation in which the total income generated by a business from its activities decreases compared to a previous period.

Price Elasticity of Demand

A study of how price developments influence the demand proportions for a commodity.

Income Elasticity of Demand

An indicator of the variation in demand for a product or service resulting from alterations in buyers' income levels.

Perfectly Inelastic

A situation in demand where the quantity demanded does not change in response to a change in price.