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Motor vehicles sold in the United States (ignoring heavy trucks) are classified

ID: 3154162 • Letter: M

Question

Motor vehicles sold in the United States (ignoring heavy trucks) are classified as either cars or light trucks and as either domestic or imported. "Light trucks" include SUVs and minivans. "Domestic" means made in Canada, Mexico, or the United States, so that a Toyota made in Canada counts as domestic. In 2012, 82.7% of the new vehicles sold to individuals were domestic, 45.9% were light trucks, and 38.4% were domestic light trucks. Choose a vehicle sale at random. Find the following probabilities ( ± 0.001):

(a) P(domestic or light truck)=

(b) A vehicle is an imported car if it is neither domestic nor a light truck. P(imported car)

Explanation / Answer

Motor vehicles sold in the United States (ignoring heavy trucks) are classified as either cars or light trucks and as either domestic or imported. "Light trucks" include SUVs and minivans. "Domestic" means made in Canada, Mexico, or the United States, so that a Toyota made in Canada counts as domestic. In 2012, 82.7% of the new vehicles sold to individuals were domestic, 45.9% were light trucks, and 38.4% were domestic light trucks. Choose a vehicle sale at random. Find the following probabilities ( ± 0.001):

From the given information we can make the table for 1000 vehicles.

Domestic

Foreign

Total

Light

384

75

459

Not light

443

98

541

Total

827

173

1000

P(domestic or light truck)

= (827+459-384)/100

=0.902

(b) A vehicle is an imported car if it is neither domestic nor a light truck. P(imported car)

P=98/1000

=0.098

Domestic

Foreign

Total

Light

384

75

459

Not light

443

98

541

Total

827

173

1000

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