CHS AMDM Final

Front

What is the probability of an event?

Back

The probability of an event is a measure of the likelihood that the event will occur, expressed as a number between 0 and 1.

Front

How do you calculate the probability of not A?

Back

The probability of not A is calculated as P(not A) = 1 - P(A).

Front

What is the formula for the union of two events A and B?

Back

The formula for the union of two events is P(A ∪ B) = P(A) + P(B) - P(A ∩ B).

Front

What does P(A ∪ B) = 0.6 signify?

Back

It signifies that there is a 60% chance that either event A or event B occurs.

Front

What is a periodic rate in finance?

Back

The periodic rate is the interest rate charged or earned for a specific period, often expressed as a percentage.

Front

How do you solve for x in an equation?

Back

To solve for x, isolate x on one side of the equation using algebraic operations.

Front

What is the significance of reporting a lost credit card immediately?

Back

Reporting a lost credit card immediately can limit liability for unauthorized charges.

Front

What is the maximum liability for unauthorized credit card charges?

Back

Under U.S. law, if a credit card is reported lost before any unauthorized charges, the cardholder is not liable for those charges.

Front

What is the formula for calculating the total amount due on a credit card?

Back

Total Amount Due = Previous Balance + New Charges - Payments + Interest.

Front

What is the difference between fixed and variable interest rates?

Back

Fixed interest rates remain the same throughout the loan term, while variable rates can change based on market conditions.