Essentials of Statistics (5th Edition)

Published by Pearson
ISBN 10: 0-32192-459-2
ISBN 13: 978-0-32192-459-9

Chapter 4 - Probability - 4-5 Multiplication Rule: Complements and Conditional Probability - Page 175: 35

Answer

a)0.0741 b)0.8. c)Inverse not correct. Many patients will have to undergo unnecessary treatments.

Work Step by Step

a)We know that $probability=\frac{number \ of \ good \ outcomes}{number\ of\ all\ outcomes}$, hence $P(Malignant|Positive)=\frac{8}{8+100}=0.0741.$ b)We know that $probability=\frac{number \ of \ good \ outcomes}{number\ of\ all\ outcomes}$, hence $P(Positive|Malignant)=\frac{8}{8+2}=0.8.$ c) 75% is much more than 0.0741=7.41%, hence the inverse is not correct. Hence many patients will have to undergo unnecessary treatments.
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