A Random Variable Is Binomially Distributed with N = 16

question 77

Multiple Choice

A random variable is binomially distributed with n = 16 and π = 0.40.The expected value and standard deviation of the variables are

• A)2.00 and 1.24
• B)4.80 and 4.00
• C)6.40 and 1.96
• D)2.00 and 1.20

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Definitions:

Uncollectible Accounts

Accounts receivable that a company does not expect to collect due to the debtor's inability to pay, considered a bad debt expense.

Year-End Adjustment

A financial correction or modification made at the end of a fiscal year to various accounts to properly state them for reporting purposes.

Bad Debts Expense

The portion of receivables that a company anticipates will not be collected and is thus written off as an expense in the financial statements.

Operating Expense

Incurred expenses that are related to a company's main operational activities, excluding cost of goods sold and capital expenditures.