Reference no: EM132530736

EAC, Inc. has collected information regarding past experiences involving predictive reports they have received in the past from consultants about uncertain situations.

The following is a synopsis of that data, where the rows represent the actual outcome experienced and the columns represent the predictions contained in the reports.

           "Favorable"            "Unfavorable"

Success     0.3                    0.1

Failure           0.3                   0.3

Question 1: Which one statement is true regarding the provided information?

1. The probabilities provided - 0.3, 0.3, 0.1, and 0.3 - are referred to as joint probabilities.
2. The probabilities provided - 0.3, 0.3, 0.1, and 0.3 - are referred to as conditional probabilities.
3. The probabilities provided - 0.3, 0.3, 0.1, and 0.3 - are referred to as marginal probabilities.

Note: This is the same information as provided in the previous problem, but the question relates to a different aspect of the scenario.

EAC, Inc. has collected information regarding past experiences involving predictive reports they have received in the past from consultants about uncertain situations.

The following is a synopsis of that data, where the rows represent the actual outcome experienced and the columns represent the predictions contained in the reports.

                     "Favorable"         "Unfavorable"

Success           0.3                  0.1

Failure            0.3                        0.3

Question 2: Which of the following statements are true regarding the provided information? (Mark all that apply.)

1. The probability of receiving an unfavorable report or experiencing an outcome of success is 0.7
2. The probability of receiving a favorable report is 0.6.
3. The probability of receiving a favorable report OR experiencing an actual outcome of failure is 0.9.
4. The probability of success is 0.3.