A mutual fund company offers its customers a variety of funds: a money-market fund, three different bond funds (short, intermediate, and long-term), two stock funds (moderate and high-risk), and a balanced fund. Among customers who own shares in just one fund, the percentages of customers in the different funds are as follows: A customer who owns shares in just one fund is randomly selected. a?. ?What is the probability that the selected individual owns shares in the balanced fund? b?. ?What is the probability that the individual owns shares in a bond fund? c?. ?What is the probability that the selected individual does not own shares in a stock fund?

Answer: Step 1 of 2 Given, A mutual fund company offers its customers a variety of funds: a money-market fund, three different bond funds (short, intermediate, and long-term), two stock funds (moderate and high-risk), and a balanced fund. Among customers who own shares in just one fund, the percentages of customers in the different funds are as follows: Money-market 20% Short bond 15% Intermediate bond 10% Long bond 5% High-risk stock 18% Moderate risk stock 25% Balanced 7% A customer who owns shares in just one fund is randomly selected. a. The probability that the selected individual owns 7% shares in the balanced fund. b. The probability that the individual owns shares in a bond fund is Short bond + Intermediate bond + Long bond = 15% + 10% + 5% = 30%. Therefore, the probability that the individual owns 30% shares in a bond fund.