An investment firm is thinking of opening a skiing facility in Colorado. It is trying to decide

Question:

An investment firm is thinking of opening a skiing facility in Colorado. It is trying to decide whether to open an area catering to family skiers or to some other group. To help make its decision, it gathers the following information. Let A1 = Family will ski A2 = Family will not ski B1 = Family has children but none in the 8–16 age group B2 = Family has children in the 8–16 age group B3 = Family has no children Then, for this location, P1A12 = 0.40 P1B22 = 0.35 P1B12 = 0.25 P1A1 B22 = 0.70 P1A1 B12 = 0.30

a. Use the probabilities given to construct a joint probability distribution table.

b. What is the probability a family will ski and have children who are not in the 8–16 age group? How do you write this probability?

c. What is the probability a family with children in the 8–16 age group will not ski?

d. Are the categories skiing and family composition independent?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Business Statistics

ISBN: 9781292220383

10th Global Edition

Authors: David Groebner, Patrick Shannon, Phillip Fry

Question Posted: