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A company audit showed that of 875 bills that were sent out, 623 were paid on time, 155 were paid up to 30 days late,
A company audit showed that of 875 bills that were sent out, 623 were paid on time, 155 were paid up to 30 days late, 78 were paid between 31 and 90 days late, and 19 were paid after 90 days.
Outcome | Probability |
---|---|
Paid on Time | 0.712 |
Paid up to 30 Days Late | 0.177 |
Paid Between 31 and 90 Days Late | 0.089 |
Paid After 90 Days | 0.022 |
a) Is the above table a valid probability table? Yes or No?
Explain:
b) What is the probability that a bill, chosen at random, was paid late?
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