ProbabilityPYQ Dec. 21Question 3399 of 149
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Assume that the probability for rain on a day is $0.4$. An umbrella salesman can earn $\text{Rs } 400$ per day in case of rain on that day and will lose $\text{Rs } 100$ per day if there is no rain. The expected earnings in (in $\text{Rs }$) per day of the salesman is

Options

A$200$
B$200$
C$100$
D$0$
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Correct Answer

Option a$200$

All Options:

  • A$200$
  • B$200$
  • C$100$
  • D$0$

About This Chapter: Probability

Paper

Paper 3: Quantitative Aptitude

Weightage

5-7 Marks

Key Topics

Probability Operations, Expected Value

A logic-heavy chapter dealing with random experiments, events (mutually exclusive, exhaustive), set theory probability, conditional probability, and Bayes' Theorem. It forms the basis for Theoretical Distributions.

View Official ICAI Syllabus

Exam Strategy Tip

Always draw a quick Venn Diagram or tree when faced with 'At least one' or 'Only A but not B' wording. It saves you from double-counting.

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