Truly Random Events Occur in Unexpected Groups,a Fair Coin May

question 15

Multiple Choice

Truly random events occur in unexpected groups,a fair coin may turn up heads five times in a row; a 100-year flood may hit a town twice in 10 years.This imperfect probability is called:

• A)Distribution of randomness.
• B)Probability inequality.
• C)Sampling size error.
• D)Measure of chance.

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Definitions:

Proportion

A segment, piece, or amount looked at in relation to the entirety.

Acid-test Ratio

A financial metric that measures a company's ability to pay off its current liabilities with its quick assets, providing insight into its short-term liquidity without relying on inventory assets.

Current Liabilities

Short-term financial obligations that are due within one year or within the normal operating cycle of the business, whichever is longer.

Inventory

Inventory consists of goods and materials a business holds for the ultimate purpose of sale, production, or utilization.