A Particular Electronic Component Is Produced at Two Plants for an Electronics

question 93

Multiple Choice

A particular electronic component is produced at two plants for an electronics manufacturer.Plant A produces 70% of the components used and the remainder are produced by plant B.The probability that a component is defective is 0.02 if it is produced at plant A and 0.01 if it is produced at plant B.If the component is not defective the revised probability it is produced at plant A, P (A|ND) , is closest to ________

• A)0.700
• B)0.824
• C)0.176
• D)0.300
• E)0.698

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Definitions:

Book Value Per Share

A metric calculated by dividing a company's equity available to common shareholders by the number of outstanding shares.

Purchasing Inventory

Purchasing inventory involves the acquisition of raw materials, work-in-progress, or finished goods to ensure that production can meet demand without unnecessary delay or stockouts.

Retailer

A business entity that sells goods directly to consumers, typically purchasing products from wholesalers or manufacturers.

Current Ratio

A liquidity ratio that measures a company's ability to pay short-term obligations, calculated as current assets divided by current liabilities.