×
Log in to StudySoup
Get Full Access to Statistics - Textbook Survival Guide
Join StudySoup for FREE
Get Full Access to Statistics - Textbook Survival Guide

Refer to Exercise 23. Assume that the probabilities that

Statistics for Engineers and Scientists | 4th Edition | ISBN: 9780073401331 | Authors: William Navidi ISBN: 9780073401331 38

Solution for problem 24SE Chapter 2

Statistics for Engineers and Scientists | 4th Edition

  • Textbook Solutions
  • 2901 Step-by-step solutions solved by professors and subject experts
  • Get 24/7 help from StudySoup virtual teaching assistants
Statistics for Engineers and Scientists | 4th Edition | ISBN: 9780073401331 | Authors: William Navidi

Statistics for Engineers and Scientists | 4th Edition

4 5 1 399 Reviews
23
3
Problem 24SE

Refer to Exercise 23. Assume that the probabilities that each of the three scenarios occurs are P(A) = 0.20, P(B) = 0.30, and P(C) = 0.50.

a. Find the probability that scenario A occurs and that the loss is 5%.

b. Find the probability that the loss is 5%.

c. Find the probability that scenario A occurs given that the loss is 5%.

Step-by-Step Solution:

Answer:

Step 1 of 4:

               Assume that the probabilities that each of the three scenarios occurs are P(A) = 0.20, P(B) = 0.30, P(C) = 0.50.

 Step 2 of 4:

a).  In exercise 23, the table is

             

                   Probability

Loss (%)

Scenarios A

Scenarios B

Scenarios C

 0

0.65

 0.65

0.65

2

0

0

0.24

5

0.2

0.24

0.1

10

0

0

0.01

15

0.1

0.1

0

20

0

0.01

0

25

0.05

0

0

 To find the probability that scenario A occurs and that the loss is 5%.

        Here, using the formula for conditional probability.

               

           

       Now,

                   Let ‘L’ denote the loss.

                =

                                                 = (0.20)(0.2)

                                                 = 0.04    

                    (In the table, 5% loss for scenario A is 0.2. So = 0.2 )    

              Therefore, the probability that scenario A occurs and that the loss is 5% is 0.04.

Step 3 of 4

Chapter 2, Problem 24SE is Solved
Step 4 of 4

Textbook: Statistics for Engineers and Scientists
Edition: 4
Author: William Navidi
ISBN: 9780073401331

The answer to “Refer to Exercise 23. Assume that the probabilities that each of the three scenarios occurs are P(A) = 0.20, P(B) = 0.30, and P(C) = 0.50.a. Find the probability that scenario A occurs and that the loss is 5%.________________b. Find the probability that the loss is 5%.________________c. Find the probability that scenario A occurs given that the loss is 5%.” is broken down into a number of easy to follow steps, and 60 words. Since the solution to 24SE from 2 chapter was answered, more than 248 students have viewed the full step-by-step answer. This full solution covers the following key subjects: occurs, loss, Probability, Find, scenario. This expansive textbook survival guide covers 153 chapters, and 2440 solutions. The full step-by-step solution to problem: 24SE from chapter: 2 was answered by , our top Statistics solution expert on 06/28/17, 11:15AM. Statistics for Engineers and Scientists was written by and is associated to the ISBN: 9780073401331. This textbook survival guide was created for the textbook: Statistics for Engineers and Scientists , edition: 4.

Unlock Textbook Solution

Enter your email below to unlock your verified solution to:

Refer to Exercise 23. Assume that the probabilities that

×
Log in to StudySoup
Get Full Access to Statistics - Textbook Survival Guide
Join StudySoup for FREE
Get Full Access to Statistics - Textbook Survival Guide
×
Reset your password