The URS Construction Company Has Submitted Two Bids, One to Build

Multiple Choice

The URS construction company has submitted two bids, one to build a large hotel in London and the other to build a commercial office building in New York City. The company believes it has a 40% chance of winning the hotel bid and a 25% chance of winning the office building bid. The company also believes that winning the hotel bid is independent of winning the office building bid. What is the probability the company will lose both contracts?

A) 0.55
B) 0.45
C) 0.10
D) 0.75