Question
Object E is dependent on Objects A and B. P(A works) = 0.90 P(A fails) = 0.10 P(B works) = 0.90 P(B fails) = 0.10
Object E is dependent on Objects A and B.
P(A works) = 0.90
P(A fails) = 0.10
P(B works) = 0.90
P(B fails) = 0.10
If Object A works, then Probability of Object E working is 0.6
If Object A fails, then Probability of Object E working is 0.2
If Object B works, then Probability of Object E working is 0.6
If Object B fails, then Probability of Object E working is 0.2
What is the Probability of Object E working?
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An Introduction to the Mathematics of Financial Derivatives
Authors: Ali Hirsa, Salih N. Neftci
3rd edition
012384682X, 978-0123846822
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