Top Posters
Since Sunday
g
3
3
2
J
2
p
2
m
2
h
2
s
2
r
2
d
2
l
2
a
2
Home Q & A Board Science-Related Homework Help Mathematics Statistics and Probability
New Topic  
jmmoulton jmmoulton
wrote...
Go to Answer
Posts: 122
Rep: 3 0
2 years ago
Use the information below to answer the following question(s).

A snack food producer is considering introducing a new product to the consumer market. It can choose to build a new facility for production of the new product, use an existing facility, or outsource the production to another company. The company estimates that the probability of strong demand for this product to be 65% and the probability of weak demand is estimated at 35%. The company also has the option to hire a marketing research firm to conduct a study to provide additional information about the demand that has the following track record:

∙ Historically, this research firm has predicted a strong demand when the eventual demand was strong 80% of the time. 
∙ Historically, this research firm has predicted a weak demand when the eventual demand was weak 85% of the time. 


Given that the survey predicts a strong demand, the probability that the eventual demand is strong is ________.

▸ 0.776

▸ 0.817

▸ 0.855

▸ 0.908
Textbook 
Business Statistics

Business Statistics


Edition: 2nd
Author:
Read 117 times
1 Reply
Replies
Answer verified by a subject expert
ButwhyButwhy
wrote...
#1
Posts: 77
Rep: 1 1
2 years ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
1

Related Topics

jmmoulton Author
wrote...

2 years ago
Just got PERFECT on my quiz
annielin111
wrote...

Yesterday
Thanks
missnoname
wrote...

2 hours ago
Correct Slight Smile TY
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  523 People Browsing
 125 Signed Up Today
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 66
  
 244
  
 272
Your Opinion
Previous poll results: Who's your favorite biologist?