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A real estate company recently became interested in determining the likelihood of one of their listings being sold within a certain number of days. An
A real estate company recently became interested in determining the likelihood of one of their listings being sold within a certain number of days. An analysis of company sales of 800 homes in previous years produced the following data. Days Listed Until Sold Total Under 30 31-90 Over 90 Under $150,000 10 40 50 100 Initial $150,000-$199,999 150 80 20 250 Asking Price $200,000-$250,000 20 280 100 400 Over $250,000 10 10 30 50 Total 190 410 200 800 (a) If A is defined as the event that a home is listed for more than 90 days before being sold, estimate the probability of A. 0.075 X (b) If B is defined as the event that the initial asking price is under $150,000, estimate the probability of B. 0. 125 (c) What is the probability of A n B? 0.0125 X (d) Assuming that a contract was just signed to list a home with an initial asking price of less than $150,000, what is the probability that the home will take the company more than 90 days to sell? 0.1 X (e) Are events A and B independent? No, because P(A | B) # P(A). O No, because A and B aren't mutually exclusive O Yes, because P(A | B)
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