a. What is the probability of finding oil (to 2 decimals)? b. After 200 feet of drilling on the first well, a soil test is taken. The probabilities of finding the particular type of soil identified by the test are given below. P(soil|high-quality oil) = 0.25 P(soil medium-quality oil) = 0.90 P(soil no oil) = 0.25 Given the soil found in the test, use Bayes' theorem to compute the following revised probabilities (to 4 decimals). P(high-quality oil|soil) P(medium-quality oil soil) P(no oil soil) What is the new probability of finding oil (to 4 decimals)? According to revised probabilities, what is the quality of oil that is most likely to be found? - Select your answer - v
a. What is the probability of finding oil (to 2 decimals)? b. After 200 feet of drilling on the first well, a soil test is taken. The probabilities of finding the particular type of soil identified by the test are given below. P(soil|high-quality oil) = 0.25 P(soil medium-quality oil) = 0.90 P(soil no oil) = 0.25 Given the soil found in the test, use Bayes' theorem to compute the following revised probabilities (to 4 decimals). P(high-quality oil|soil) P(medium-quality oil soil) P(no oil soil) What is the new probability of finding oil (to 4 decimals)? According to revised probabilities, what is the quality of oil that is most likely to be found? - Select your answer - v
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:D An oil company purchased an option on land in Alaska. Preliminary geologic studies assigned the following prior probabilities.
P(high-quality oil) = 0.40
P(medium-quality oil) = 0.25
P(no oil) = 0.35
a. What is the probability of finding oil (to 2 decimals)?
b. After 200 feet of drilling on the first well, a soil test is taken. The probabilities of finding the particular type of soil identified by the test are given below.
P(soil|high-quality oil) = 0.25
P(soil|medium-quality oil) = 0.90
P(soil|no oil) = 0.25
%3D
Given the soil found in the test, use Bayes' theorem to compute the following revised probabilities (to 4 decimals).
P(high-quality oil|soil)
P(medium-quality oil soil)
P(no oil soil)
What is the new probability of finding oil (to 4 decimals)?
According to the revised probabilities, what is the quality of oil that is most likely to be found?
- Select your answer -
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