As a Company Manager for Claimstat Corporation There Is a 0.40

question 64

Essay

As a company manager for Claimstat Corporation there is a 0.40 probability that you will be promoted this year. There is a 0.72 probability that you will get a promotion or a raise. The probability of getting a promotion and a raise is 0.25.
a.If you get a promotion, what is the probability that you will also get a raise?
b.What is the probability of getting a raise?
c.Are getting a raise and being promoted independent events? Explain using probabilities.
d.Are these two events mutually exclusive? Explain using probabilities.

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Definitions:

Monopoly Power

The ability of a single supplier to control the market price and exclude competitors.

Elasticity of Demand

An assessment of the degree to which the quantity of a good demanded changes in response to its price movement.

Marginal Cost

The additional expenditure involved in making one more unit of a product or service.

Retail Price

The total cost at which a product or service is sold to the end consumer, including any markups by retailers.