Consulting firm submitted bid for large research project

Assignment Help Business Economics

Reference no: EM131115370

A consulting firm submitted a bid for a large research project. The firms management initially felt there was a 50/50 chance of getting the bid. However, the agency to which the bid was submitted subsequently requested additional information on the bid. Experience indicates that on 75% of the successful bids and 40% of the unsuccessful bids the agency requested additional information.

a. What is the prior probability that the bid will be successful (ie. priro to receiving the request for additional information).?

b. what is the conditional probability of a request for additional information given that the bid will ultimately be successful?

c. Compute a posterior probability that the bid will be successful given that a request for additional information has been received?

Reference no: EM131115370

Questions Cloud

Capital budgeting problem : You have been asked by the president of your company to evaluate the proposed acquisition of a new special-purpose truck. The truck's basic price is $50,000, and it will cost another $10,000 to modify it for special use by your firm. The truck fal..

What are the potential tax consequences for the corporation : What is the difference between a liquidating and non-liquidating distribution? What are the potential tax consequences for the corporation? How do the potential tax consequences differ for the shareholders?

Explain to her the various payroll deductions : Faith Battle operates a health food store, and she has been the only employee. Her business is growing, and she is considering hiring some additional staff to help her in the store.

What new discovery did the scientists discover : What new discovery did the scientists discover and what does this possibly tell us about the earth, life, and any other "big" picture as stated in the article.

Consulting firm submitted bid for large research project : A consulting firm submitted a bid for a large research project. The firms management initially felt there was a 50/50 chance of getting the bid. However, the agency to which the bid was submitted subsequently requested additional information on the b..

Valuing a corporate bond issue : American Airlines is currently considering the issuance of a series of $1,000 par bonds. The coupon rate offered, based on current market interest rates and the Standard & Poor's based AMR bond rating

Why the empirical studies about factors affecting equity : Why do you think the empirical studies about factors affecting equity returns basically showed that domestic factors were more important than international factors, and, secondly, that industrial membership of a firm was of little importance in forec..

Calculate the overhead applied to production in december : Calculate the predetermined overhead rate for the year. Enter the percentage answer as a whole number. Calculate the overhead applied to production in December

“highly achievable budget targets reduce risk of gameplaying : “Highly achievable budget targets reduce the risk of gameplaying. The stakes associated with budget achievement in most firms, which include bonuses, promotions, and job security, are so significant that managers who are in danger of failing to achie..

User Account

All Pages