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Fraud detection has become an indispensable tool for banks and credit card companies to combat fraudulent credit card transactions. A fraud detection firm raises an

Fraud detection has become an indispensable tool for banks and credit card companies to combat fraudulent credit card transactions. A fraud detection firm raises an alarm of 5% of all transactions and 80% of fraudulent transactions.

What is the probability that the transaction is fraudulent if the firm does not raise an alarm? Assume that 1% of all transactions are fraudulent.

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