Consider a pool of auto insurance policies such that all policies provide coverage for at least one car, 25% of policies cover more than one car, 25% of policies cover a sports car, and 15% of policies that cover multiple cars also cover a sports car. Calculate the probability that a random policy covers exactly one car which is not a sports car.
Consider a pool of auto insurance policies such that all policies provide coverage for at least one car, 25% of policies cover more than one car, 25% of policies cover a sports car, and 15% of policies that cover multiple cars also cover a sports car. Calculate the probability that a random policy covers exactly one car which is not a sports car.
Chapter8: Sequences, Series,and Probability
Section8.7: Probability
Problem 11ECP: A manufacturer has determined that a machine averages one faulty unit for every 500 it produces....
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Transcribed Image Text:Consider a pool of auto insurance policies
such that all policies provide coverage for at
least one car, 25% of policies cover more than
one car, 25% of policies cover a sports car, and
15% of policies that cover multiple cars also
cover a sports car. Calculate the probability
that a random policy covers exactly one car
which is not a sports car.
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