The Sum of the Probabilities of All the Events in the Sample

question 27

True/False

The sum of the probabilities of all the events in the sample space of a probability
distribution must equal 1.

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Definitions:

Physical Possession

The actual holding or control of property, as opposed to constructive possession which is the legal right to control.

Insurable Interest

The legitimate interest or stake a policyholder must have in the subject matter of the insurance policy, such that they would suffer financial loss or damage from its harm or destruction.

Goods In Bailment

Items that are temporarily transferred into another's custody for a specific purpose, but ownership is not transferred.

Risk Of Loss

The potential for an asset to be lost, damaged, or destroyed, impacting its owner's financial position.