The Life of a Light Bulb Is Exponentially Distributed with a Mean

question 9

Multiple Choice

The life of a light bulb is exponentially distributed with a mean of 1,000 hours.What is the probability that the bulb will last: Less than 800 hours?

• A).6321
• B).5507
• C).7135
• D).4493

Understand how the law enforces the keeping of promises through contract law.

Identify what constitutes consideration within a contract.

Recognize the role of paralegals in disputes involving contract and sales law.

Explain special doctrines related to contracts, like promissory estoppel.

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Definitions:

Net Present Value

A financial metric that calculates the difference between the present value of cash inflows and the present value of cash outflows over a period of time.

Net Present Value

A calculation that determines the present value of a series of future cash flows, minus the initial investment, used to assess the profitability of investments.

Investment Proposal

A detailed document or presentation by a company or individual seeking to raise capital, outlining the nature of the project, the required investment, and the expected returns.

Discount Factor

A multiplier used to determine the present value of future cash flows or income, reflecting the time value of money.