Chapter 5: Problem 45
Define each of these items: a. Conditional probability b. Event c. Joint probability
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Chapter 5: Problem 45
Define each of these items: a. Conditional probability b. Event c. Joint probability
These are the key concepts you need to understand to accurately answer the question.
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The chair of the board of directors says, "There is a 50 percent chance this company will earn a profit, a 30 percent chance it will break even, and a 20 percent chance it will lose money next quarter." a. Use an addition rule to find the probability the company will not lose money next quarter. b. Use the complement rule to find the probability it will not lose money next quarter.
An investor owns three common stocks. Each stock, independent of the others, has equally likely chances of (1) increasing in value, (2) decreasing in value, or (3) remaining the same value. List the possible outcomes of this experiment. Estimate the probability at least two of the stocks increase in value.
The events \(A\) and \(B\) are mutually exclusive. Suppose \(P(A)=.30\) and \(P(B)=.20 .\) What is the probability of either \(A\) or \(B\) occurring? What is the probability that neither \(A\) nor \(B\) will happen?
Suppose the probability you will get an \(\mathrm{A}\) in this class is .25 and the probability you will get a \(\mathrm{B}\) is \(.50 .\) What is the probability your grade will be above a \(C ?\)
In a management trainee program at Claremont Enterprises, 80 percent of the trainees are female and 20 percent male. Ninety percent of the females attended college, and 78 percent of the males attended college. a. A management trainee is selected at random. What is the probability that the person selected is a female who did not attend college? b. Are gender and attending college independent? Why? c. Construct a tree diagram showing all the probabilities, conditional probabilities, and joint probabilities. d. Do the joint probabilities total 1.00 ? Why?
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