(a) (b) It is estimated % of all adults in United States invest in stocks and th
ID: 3391081 • Letter: #
Question
(a)
(b)
It is estimated % of all adults in United States invest in stocks and that % of U.S. adults have investments in fixed income instruments (savings accounts, bonds, etc.). It is also estimated that % of U.S. adults have investments in both stocks and fixed income instruments. (a) What is the probability that a randomly chosen U.S. adult invests in stocks, given that s/he invests in fixed income instruments? Round your answer to decimal places.(b) What is the probability that a randomly chosen stock investor also invests in fixed income instruments? Round your answer to decimal places.
(If necessary, consult a list of formulas.)(a)
(b)
Explanation / Answer
It is estimated % of all adults in United States invest in stocks and that % of U.S. adults have investments in fixed income instruments (savings accounts, bonds, etc.). It is also estimated that % of U.S. adults have investments in both stocks and fixed income instruments.
Thus, P(Stoks+Investment)=0.26
P(S+I)=P(S)+P(I)-P(S and I)
0.26=0.30+0.83-P(S and I)
P(S and I)=0.30+0.83-0.26=0.9
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.