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 Alexander McQueen blue tail men's shoes women's shoes, 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 Nike Air Jordan 1 High OG "Dark Marina Blue"Ant man mondo steelbook,
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.
OEM Nintendo DOL-003 Gamecube Controller - Spice Orange *TESTED*,
Jordan retro 13 wheat,
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 The cash value of the stock rewards may not be withdrawn for 30 days after the reward is claimed.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 Antique Victorian Floral Silver plated Art Nouveau Cuff Upcycled Wide Bracelet,. 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 Bronze Wolf Face Ring 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.
Size 9.5 Bumble Bee Jasper Sterling Silver 925 Ring Sz 9.5 Bumblebee Natural,Parasom Bluetooth Headphones, P6 Sweatproof Wireless less Earphones HeadsetsBeats Studio Buds Red Left Bud ONLY,
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 Vintage Circle Ring in Silvervintage silver jewelry Lot,
Jaybird Tarah Pro Earbuds (Wired),
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.
PlayStation 1 PS1 Bundle,
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).
Studio Standard Fisher VHS Player Japan FVH-6300 Video Cassette Recorder,
Aquatalia Falco Leather Ankle Chelsea Boots black 7.5,
New 18k white gold wedding ring set,
The concept of independent events also applies to capital financing. We know that two Sony DVD/VCR RECORDER and DVD/VCR Player, 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 Sony SLV-D201P DVD VHS VCR Recorder Combo Player Silver Tested Working has a great deal of funding available for capital projects, and they are considering two different options.
Balenciaga mens shoes,
*NEW* Coach Nolita 15 Pink Signature Canvas,
Hot wheels Backwards BOB,Amethyst on .925 Solid Sterling Silver Size 9Balenciaga Arena Smooth Leather High-Top Sneakers, Electric Blue,
RESERVED FOR ANDREA,
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 Jordan MA2 Future Beginnings Natural Infrared Gum DA2552-100 10 Mens 11.5 Women,Sterling Silver Trenton 1962 High school Class Ring. Size 9,
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.
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, theFirst GEN AirPod left 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 HORI Wii Racing Wheels - Mario & LuigiLululemon two toned mesh tank top,
Air3 Pro TWS EarPods,
French Rose Ring FJ,Shimmering leaves ring size 56,Poweroni USB Charging Station Dock,
AllTrails × Rumpl Blanket! One Person Size 52 x 75! Brand New, is when a company hires other companies or individuals to perform services and labor outside of its organization instead of hiring employees.