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Reading 8: Probability Concepts - LOS c ~ Q4-6

Q4. A company has two machines that produce widgets. An older machine produces 16% defective widgets, while the new machine produces only 8% defective widgets. In addition, the new machine employs a superior production process such that it produces three times as many widgets as the older machine does. Given that a widget was produced by the new machine, what is the probability it is NOT defective?

A)   0.76.

B)   0.92.

C)   0.06.

Q5. If the probability of an event is 0.20, what are the odds against the event occurring?

A)   Five to one.

B)   Four to one.

C)   One to four.

Q6. If the odds against an event occurring are twelve to one, what is the probability that it will occur?

A)   0.0833.

B)   0.0769.

C)   0.9231.

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