Probability that no action will be taken

Reference no: EM131426345

Medicine and Clinical Studies

According to a Pew Research Center survey, approximately 35% of Americans attempt to diagnose a medical condition online.49 Highmark insurance company is concerned about the rising number of online diagnosers and the resulting failure to consult a physician. They have decided to select 25 policyholders at random. If the number of online diagnosers is 11 or fewer, then no action will be taken. Otherwise, they will begin a campaign to remind policyholders that they should always consult a physician to confirm a medical condition.

a. Suppose the true proportion of online diagnosers is 0.35. What is the probability that Highmark will begin a new reminder campaign?

b. Suppose the true proportion of online diagnosers is 0.40. What is the probability that no action will be taken? What if the true proportion is 0.50?

c. Suppose the decision rule is changed such that if the number of online diagnosers is 12 or fewer, then no action will be taken. Answer parts (a) and (b) using this rule.

Reference no: EM131426345

Questions Cloud

What is the capital gain over next year : What is the current yields if the interest rate remains unchanged. What is the capital gain over next year.

Differentiate between the two systems : If credit cards are so widely accepted and globally used, why is there a need for PayPal system? Highlight all the intermediaries between the buyer and seller to differentiate between the two systems.

What is the minimum level of ebit needed : ABC company has 200000 shares and the current share price is $20. The company wants to infuse debt of $1m. If the restructuring is expected to increase EPS , what is the minimum level of EBIT needed. Ignore taxes and take interest 9%.

Assess and discuss the implications of key strengths : 1. Apply SWOT analysis to your organization and identify and describe the strengths, weakness, opportunities and threats. 2. Assess and discuss the implications of key strengths, weakness, opportunities and threats ( in your list) to your organizat..

Probability that no action will be taken : Suppose the true proportion of online diagnosers is 0.40. What is the probability that no action will be taken? What if the true proportion is 0.50?

Why is the white hotter than the black : According to thermodynamics, thermal radiation is the electromagnetic radiation emitted by a body as a result of its temperature [1]. What is of interest in this lab, however, is that the thermal radiation emitted by different objects at the same ..

Draw a properly labeled graph of the security market line : Draw a properly labeled graph of the security market line(sml) and indicate where would expect the following investments to fall alone that line. Discuss your reasoning.

What is the numerical value of the t-statistic : PSY 5013 - Write the squared partial correlation between Y and x3 controlling for x1 and x2 as a function of squared multiple correlations only and Write out the squared multiple correlation between Y and x2 and x3 in terms of a sum of squared sim..

Find mean and variance and standard deviation : Suppose p(x) = 1/6, x = 1, 2, 3, 4, 5, 6. Find the mean, variance, and standard deviation of X.- Suppose p(x) = 1/n, x = 1, 2, 3, c, n. Find the mean, variance, and standard deviation of X in terms of n.

User Account

All Pages