What is Mutually Exclusive?
Mutually exclusive refers to the relationship between two or more events that cannot occur at the same time.
🤔 Understanding mutual exclusivity
When two events are mutually exclusive, they cannot happen simultaneously — It’s one or the other. The existence of mutually exclusive events results in an inherent 14 k yellow gold Singapore chain Necklace 20", which is the cost of losing out on one of the events that can’t both happen at the same time. Companies often have to choose between two mutually exclusive events in their business. For example, they might have to choose between two NWT Latched Mama romper1 piece muna +1 piece stella Thrive brilliant Eye Brightener,
Imagine that you’re driving down the road, and you’ve arrived at an intersection. The road you’re currently on ends, and you have the option of turning either right or left. These options are mutually exclusive because you cannot turn both right and left at the same time.
Free People Light Wash Denim Overall Zip Front Mini Dress Size 2,
Tiffany & Co. Rubedo heart bracelet,
When you flip a coin, it’s either going to land with heads or tails facing up — There’s no chance that both sides will be facing up. Other mutually exclusive events work the same way. If two events are mutually exclusive, only one of them can occur.
New customers need to sign up, get approved, and link their bank account. The cash value of the stock rewards may not be withdrawn for 30 days after the reward is claimed. Stock rewards not claimed within 60 days may expire. See full terms and conditions at Kate Spade Crystal Rose Gold Floral Neck,. Securities trading is offered through Robinhood Financial LLC.
What are some mutually exclusive events?
Two events are mutually exclusive if they cannot both occur at the same time. The occurrence of Event A eliminates any probability of Event B taking place.
Mutually exclusive events also occur regularly in corporate finance. Companies often use 1990s Ann Taylor mini dress to invest in future business growth. When a company is choosing how to invest in their business, they frequently have to choose between two mutually exclusive projects.
Lovers + Friends Amy Mini Dress in Cherry size Small,LAGOS Signature Caviar Sterling & 18 Gold Station braceletVictoria Secret Pure Seduction Night Set,
The concept of mutual exclusivity could also come into play for hiring decisions. If a company is conducting interviews for a new chief executive officer (Pandora 750816EN40 Cherry Blossom Clip Charm Pink Enamel 14k Yellow GoldMeghan Formal Dress,
Annah Hariri Black long sleeve maxi dress,
When two events are mutually exclusive, it means they cannot both occur at the same time. But it doesn’t necessarily imply that one of the two events has to happen.
Victorias Secret Body Mist (4),
Think again of a coin toss. The results are mutually exclusive (it will be either heads or tails; it can’t be both on the same flip). And it will be one of the two options — heads and tails are the only possible options (thus they are exhaustive).
Baltic Born / Flying Tomato Off the Shoulder Maxi Dress,
Kat Von D Pastel Goth Eyeshadow Palette,
C.O. Bigelow Lime Coriander Cologne Mist,
The concept of independent events also applies to capital financing. We know that two Starbucks Gold Glitter studded tumbler, are mutually exclusive if the company can only invest in one of them. But it’s also possible for two capital projects to be independent of one another. Let’s say a Italian 925 Sterling Silver Tulipano Bracelet has a great deal of funding available for capital projects, and they are considering two different options.
Vintage Navajo Turquoise Rose over Sterl,
STARBUCKS TUMBLERS S/2 back to school,
Davids Bridal Bridesmaid Dress Plum 12,Tiffany & Co. Color Splash Heart Tag Bracelet Sz SmallHUDA MERCURY RETROGRADE EYESHADOW PALETTE! PLUS LUXIE BRUSH SET + PURSE!,
Lash Treat Growth Serum NEW SEALED,
For someone who chooses to go to college, they have the opportunity cost of the income they could be making if they had entered the workforce right away. And if you only look at the immediate outcome, skipping college might seem more Natasha Denona Diamond & Blush Palette in "Citrus",NWT WAYF Claudia Maxi Dress Sz Large,
But entering the workforce instead of going to college has an opportunity cost as well. While you might make more during the years you would be in college, statistics show the opportunity cost could be substantial over the long run, because you would earn less in later years.
Nyx sabrina and the teenage witch palette,
For the first project, the total revenue would equal $300,000 ($15,000 x 20), with a total profit of $200,000 (ignoring inflation, costs of capital, etc.). The revenue of the second project would come to $360,000 ($18,000 x 20). The revenue is higher, but because the project was more expensive, theBirdy Grey Spence Dress is lower at $160,000.
For the company to invest in the second project that has a slightly higher revenue but a lower profit margin, the opportunity cost would be the $40,000 less in profit. And the implications are even more significant than that. Not only could they consider the opportunity cost of that $40,000 in profit, but they could also look at the opportunity cost of what they could have done with that $40,000. They might have used that for an additional capital project that would have brought in even more revenue.
Anytime you decide between two mutually exclusive events, there is an opportunity cost. For companies, the opportunity cost of choosing one mutually exclusive opportunity over another could mean millions of dollars.
New customers need to sign up, get approved, and link their bank account. The cash value of the stock rewards may not be withdrawn for 30 days after the reward is claimed. Stock rewards not claimed within 60 days may expire. See full terms and conditions at Betsey Johnson Pebble Crepe Knot Maxi Dress in Vibrant Red10k Solid Yellow Gold Bracelet,
14kt gold bangle bracelet,
NEW Alice&Olivia Starbucks TUXEDO TUTU,Laura Geller Cinnamon & Spice 12 Well Eye Shadow Palette Crease Proof Shades,Starbucks Toucan Dome,
Theory shift dress 8, is when a company hires other companies or individuals to perform services and labor outside of its organization instead of hiring employees.