Question
Errors in estimating job costs. A construction company employs three sales engineers. Engineers 1, 2, and 3 estimate the costs of 30%, 20%, and 50%,
Errors in estimating job costs. A construction company employs three sales engineers. Engineers 1, 2, and 3 estimate the costs of 30%, 20%, and 50%, respectively, of all jobs bid by the company. For i = 1, 2, 3, define Ei to be the event that a job is estimated by engineer i. The following probabilities describe the rates at which the engineers make serious errors in estimating costs: P(error|E1)= .01, P(error|E2) = .03, and P(error|E3) = .02 a. If a particular bid results in a serious error in estimating job cost, what is the probability that the error was made by engineer 1? b. If a particular bid results in a serious error in estimating job cost, what is the probability that the error was made by engineer 2? c. If a particular bid results in a serious error in estimating job cost, what is the probability that the error was made by engineer 3?
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