Which Best Exemplifies a Subjective Probability

question 98

Multiple Choice

Which best exemplifies a subjective probability?

• A) The probability that a female aged 30 will have an accident in a week's car rental at Hertz.
• B) The probability that a pair of dice will come up 7 in a given throw.
• C) The probability that the summer Olympic games will be held in Chicago in 2020.
• D) The probability that a checked bag on Flight 1872 will weigh more than 40 pounds.

Analyze the impact of Federal Reserve actions on the money supply.

Identify the components of a bank’s reserves.

Understand the relationship between the price of government bonds and market interest rates.

Grasp the significance of the deposit expansion multiplier in banking.

---

Definitions:

Fixed Factory Overhead Volume Variance

A measure used in managerial accounting to assess the difference between the budgeted and the actual volume of production, affecting fixed overhead costs.

Standard Fixed Overhead Rate

Rate calculated by dividing the budgeted fixed overhead by the standard activity index (like labor hours or machine hours) expected.

Productive Capacity

The maximum output a system, entity, or project can produce over a specific period under normal conditions.

Direct Labor Hour

A measure of the amount of time spent by workers directly manufacturing a product or providing a service, used for cost allocation.