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Probability, Break-Even Analysis, and Cost Calculations in Business Decisions

Application of probability and cost analysis in financial decision-making.

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    Probability, Break - Even Analysis, and Cost Calculations in Business Decisions Question 1 0 out of 2 points Employees of a local company are classified according to gender and job type. The following table summarizes the number of people in each job category. Male (M) Female (F) Job Administrative (AD) 110 10 Salaried staff (SS) 30 50 Hourly staff (HS) 60 40 If an employee is selected at random, what is the probability that the employee is female or works as a member of the administration? Answer Selected Answer: .70 .69 .71 .70. 69 .71 Correct Answer: Evaluation Method Correct Answer Case Sensitivity Exact Match 0.70 Exact Match 0.69 Exact Match 0.71 Exact Match .70 Exact Match .69

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    Exact Match .71  Question 2 2 out of 2 points Wei is considering pursuing an MS in Information Systems degree. She has applied to two different universities. The acceptance rate for applicants with similar qualifications is 20% for University X and 45% for University Y. What is the probability that Wei will be accepted by at least one of the two universities? {Express your answer as a percent. Round (if necessary) to the nearest whole percent and omit the decimal. For instance, 20.1% would be written as 20} Answer Selected Answer: 56 Correct Answer: Evaluation Method Correct Answer Case Sensitivity Exact Match 56  Question 3 2 out of 2 points An inspector correctly identifies defective products 90% of the time. For the next 10 products, what is the probability that he makes fewer than 2 incorrect inspections? Note: Please report your answer with two places to the right of the decimal, rounding if appropriate. Answer Selected Answer: .74

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    Correct Answer: Evaluation Method Correct Answer Case Sensitivity Exact Match 0.74 Exact Match 0.73 Exact Match .74 Exact Match .73  Question 4 2 out of 2 points The purpose of break - even analysis is to determine the number of units of a product to sell that will Answer Selected Answer: result in zero profit Correct Answer: result in zero profit  Question 5 2 out of 2 points A bed and breakfast breaks even every month if they book 30 rooms over the course of

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    a month. Their fixed cost is $4200 per month and the revenue they receive from each booked room is $180. What their variable cost per occupied room? Answer Selected Answer: $40 Correct Answer: $40  Question 6 0 out of 2 points A model is a functional relationship that includes: Answer Selected Answer: [None Given] Correct Answer: all of the above  Question 7 0 out of 2 points If fixed costs increase, but variable cost and price remain the same, the break even point Answer

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    Selected Answer: [None Given] Correct Answer: increases  Question 8 2 out of 2 points Administrators at a university will charge students $158 to attend a seminar. It costs $2160 to reserve a room, hire an instructor, and bring in the equipment. Assume it costs $50 per student for the administrators to provide the course materials. How many students would have to register for the seminar for the university to break even? Note: please report the result as a whole number, omitting the decimal point. Answer Selected Answer: 20 Correct Answer: Evaluation Method Correct Answer Case Sensitivity Exact Match 20  Question 9 2 out of 2 points Administrators at a university are planning to offer a summer seminar. The costs of reserving a room, hiring an instructor, and bringing in the equipment amount to $3000. Suppose that it costs $25 per student for the administrators to provide the course materials. If we know that 20 people will attend, what price should be charged per person to break even? Note: please report the result as a whole number, rounding if necessary and omitting the decimal point.

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    Answer Selected Answer: 175 Correct Answer: Evaluation Method Correct Answer Case Sensitivity Exact Match $175 Exact Match 175  Question 10 2 out of 2 points A production process requires a fixed cost of $50,000. The variable cost per unit is $25 and the revenue per unit is projected to be $45. Find the break - even point. Answer Selected Answer: 2500 Correct Answer: Evaluation Method Correct Answer Case Sensitivity Exact Match 2500 Exact Match 2,500  Question 11 0 out of 2 points

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