#title.Decision Models., Advanced Statistics

Assignment Help:
I have a problem I am trying to solve. An oil company thinks that there is a 60% chance that there is oil in the land they own. Before drilling they run a soil test. When there is oil in teh ground, the soil test comes back positive(indicating oil) 90% of the time. When there is NO oil in teh ground, the soil test is positive(indicating oil) 20% of the time.
What is the probability that a test comes back positive-indicating oil.
My ans- P(BUP)=P(B)+P(P)-P(BnP)=.900+.600-.200= 1.3
b)What is the probability that there is oil in teh ground, if the test comes back positive?
Ans-P=1-1.3= 0.3 comes back positive.

Related Discussions:- #title.Decision Models.

SCATTER DIAGRAM, MEANING ,IMPORTANCE AND RELEAVANCE OF SCATTER DIAGRAM

MEANING ,IMPORTANCE AND RELEAVANCE OF SCATTER DIAGRAM

Categorizing continuous variables, Categorizing continuous variables : A pr...

Categorizing continuous variables : A practice which involves the conversion of the continuous variables into the series of the categories, which is common in the field of medical

Generalized estimating equations (gee), Technically the multivariate analog...

Technically the multivariate analogue of the quasi-likelihood with the same feature that it leads to consistent inferences about the mean responses without needing specific supposi

Generalized method of moments (gmm), Generalized method of moments (gmm) is...

Generalized method of moments (gmm) is the estimation method popular in econometrics which generalizes the method of the moments estimator. Essentially same as what is known as the

Extrapolation, This process of estimating from a data set those values lyin...

This process of estimating from a data set those values lying beyond range of the data. In the regression analysis, for instance, a value of the response variable might be estimate

Describe meta-analysis, Meta-analysis is the collection of techniques wher...

Meta-analysis is the collection of techniques whereby the results of two or more independent studies are statistically combined to yield the overall answer to a question of intere

Complier average causal effect (cace), Complier average causal effect (CACE...

Complier average causal effect (CACE): The treatment effect amid true compliers in the clinical trial. For the suitable response variable, the CACE is given by the difference in o

Mean, You have learned that there are 3 major central measures of any data ...

You have learned that there are 3 major central measures of any data set. Namely: mean, median, and mode. Which of the three, do the outliers affect the most?

Component bar chart, Component bar chart : A bar chart which shows the comp...

Component bar chart : A bar chart which shows the component parts of the aggregate represented by the whole length of the bar. The component parts are shown as the sectors of bar w

Regression analyze, I do have a data of real gdp for each state and from 20...

I do have a data of real gdp for each state and from 2000 to 2010 and I also have estimated population of illigel immigrants for each state from 2000 to 2010. In my thesis I am try

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd