Janet Is Planning to Rent a Booth at a Festival $\$ 80$

question 73

Multiple Choice

Janet is planning to rent a booth at a festival for a day to sell clothes that she has made.She sells jackets for $\$ 80$ and skirts for $\$ 50$ Her past experiences suggests that sales of jackets will have a mean of 6.5 with a standard deviation of $\sigma _ { j }$ ,and sales of skirts will have a mean of 12.6 with a standard deviation of $\sigma _ { s }$ .The cost of renting the booth for the day is $\$ 180$ Let the random variable J represent the number of jackets that Janet sells and the random variable S represent the number of skirts that Janet sells.Then Janet's net income,I,is given by the expression: I = 80J + 50S - 180
Find an expression for the standard deviation of Janet's net income.Assume that sales are independent of each other.

• A)? = 80 \(\sigma _ { j }\) + 50 \(\sigma _ { s }\)
• B)? = \(\sqrt { 6400 \sigma _ { j } ^ { 2 } + 2500 \sigma _ { s } ^ { 2 } - 180 }\)
• C)? = \(\sqrt { 80 \sigma _ { j } ^ { 2 } + 50 \sigma _ { s } ^ { 2 } }\)
• D)? = \(\sqrt { 6400 \sigma _ { j } ^ { 2 } + 2500 \sigma _ { s } ^ { 2 } }\)
• E)? = 80 \(\sigma _ { j }\) + 50 \(\sigma _ { s }\) - 180

Analyze and prepare cost reconciliation reports.

Understand the FIFO (First-In, First-Out) method in process costing.

Compute equivalent units of production using the FIFO method.

Derive and calculate cost per equivalent unit for materials and conversion costs.

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Definitions:

Express Voluntary Assumption

The clear and intentional taking on of a risk or responsibility by an individual, fully understanding its implications.

Strict Liability

Legal responsibility for damages or injury, even if the person found strictly liable was not at fault or negligent.

Defendant's Liability

Refers to the obligation of a defendant in a legal case to compensate for loss or damage as determined by a court.

Reasonable Person Standard

A legal principle used to judge an individual's actions based on what a typical or reasonable person would do in similar circumstances.