Following the introduction of the euro, counterfeiters expand their activities. The probability that a euro bill is
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Following the introduction of the euro, counterfeiters expand their activities. The probability that a euro bill is counterfeit is 0.5%. Retailers are vigilant and install machines at the cash registers to identify counterfeit money. The devices are able to detect a counterfeit euro bill in 95% of cases. In 1% of cases, they record a euro bill as counterfeit that is genuine.
(a) What is the probability of the machines detecting a counterfeit bill?
(b) What is the probability that the money is really counterfeit?
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Applied Statistics And Multivariate Data Analysis For Business And Economics
ISBN: 9783030177669
1st Edition
Authors: Thomas Cleff
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