Suppose 35% of Homes in a Miami,Florida,neighborhood Are Under Water

question 85

Multiple Choice

Suppose 35% of homes in a Miami,Florida,neighborhood are under water (in other words,the amount due on the mortgage is larger than the value of the home) .There are 160 homes in the neighborhood and 30 of those homes are owned by your friends.What is the probability that fewer than 30% of your friends' homes are under water?

• A) 0.2611
• B) 0.2843
• C) 0.6400
• D) 0.7389

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Definitions:

Accounts Receivable

Money owed to a business by its customers for goods or services delivered but not yet paid for, represented as an asset on the balance sheet.

Unearned Revenues

Liabilities recognized when a company receives payment for goods or services yet to be delivered or performed.

Debit

An accounting entry that results in either an increase in assets or expenses or a decrease in liabilities, equity, or income.

Credit

The provision of resources (like money) by one party to another, where repayment is expected in the future, often with interest.