The Data in the Following Table Show the Outcomes of the Testing

question 36

Multiple Choice

The data in the following table show the outcomes of the testing of an allergy drug on 500 people. $$\begin{array} { l | c | c | c | c } & \begin{array} { c } \text { Allergy } \\\text { drug }\end{array} & \text { Placebo } & \begin{array} { c } \text { Control } \\\text { (no treatment) }\end{array} & \text { Total } \\\hline \text { Improvement } & 145 & 85 & 41 & 271 \\\text { No improvement } & 55 & 115 & 59 & 229 \\\text { Total } & 200 & 200 & 100 & 500\end{array}$$
-What is the probability that a randomly selected person either was given the allergy drug and improved?

• A)0.652
• B)0.942
• C)0.625
• D)0.29

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Definitions:

Consumer Surplus

Rephrased: The economic benefit or satisfaction gained by consumers when they pay a price lower than what they are ready to pay for a product or service.

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The action of obtaining digital media files, including music and applications, from Apple's iTunes Store.

Marginal Cost

The cost incurred by producing one more unit of a good or service.

Marginal Benefit

The gain in satisfaction or utility that comes with the consumption of another unit of a product or service.