Suppose Team a Has a 0

question 21

Multiple Choice

Suppose Team A has a 0.75 probability to win their next game and Team B has a 0.85 probability to win their next game.Assume these events are independent.What is the probability that Team A wins exactly two of their next three games?

• A)0.18750
• B)0.140625
• C)0.421875
• D)1.5

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Definitions:

Investment Center

A segment or division within a company for which direct responsibility is given to a manager, who is judged by the profitability and the return on investment of the division.

Flexible Budgets

Flexible budgets are financial plans that can vary depending on actual levels of output, activity, or revenue, allowing businesses to adjust their spending and resources more dynamically.

Fixed Budgets

Financial plans that do not change over the budget period, regardless of changes in business activity.

Cost Variance

The difference between the budgeted or planned costs and the actual costs incurred.