Answer:
0.7558 = 75.58% probability this sale has occurred in Dallas
Step-by-step explanation:
Conditional Probability
We use the conditional probability formula to solve this question. It is
[tex]P(B|A) = \frac{P(A \cap B)}{P(A)}[/tex]
In which
P(B|A) is the probability of event B happening, given that A happened.
[tex]P(A \cap B)[/tex] is the probability of both A and B happening.
P(A) is the probability of A happening.
In this question:
Event A: Belt sold
Event B: Sold in Dallas.
Probability of belt being sold:
50% of 65%(made in Dallas)
30% of 100 - 65 = 35%(made in Phoenix). So
[tex]P(A) = 0.5*0.65 + 0.3*0.35 = 0.43[/tex]
Sold in Dallas:
50% of 65%. So
[tex]P(A \cap B) = 0.5*0.65 = 0.325[/tex]
What is the probability this sale has occurred in Dallas?
[tex]P(B|A) = \frac{P(A \cap B)}{P(A)} = \frac{0.325}{0.43} = 0.7558[/tex]
0.7558 = 75.58% probability this sale has occurred in Dallas
