Use Bayes' Theorem to Find the Indicated Probability

question 149

Multiple Choice

Use Bayes' theorem to find the indicated probability.
-A company manufacturing electronic components for home entertainment systems buys electrical connectors from three suppliers. It buys 24% of the connectors from supplier A, 36% from supplier B, and 40% from supplier C.
It finds that 2% of the connectors from supplier A are defective, 4% of the connectors from supplier B are defective, and 5% of the connectors from supplier C are defective.
If a customer buys one of these components and finds that the connector is defective, what is the probability that it came from supplier B?

• A) 0.122
• B) 0.04
• C) 0.367
• D) 0.581

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Definitions:

Leases

Contracts in which one party (the landlord) grants another party (the tenant) the right to use real estate for a specified period in exchange for payment.

UCC

Uniform Commercial Code, a comprehensive set of laws governing all commercial transactions in the United States.

Breach of Contract

Occurs when one or more parties involved in a contract fail to fulfill their legal obligations as stipulated in the agreement, potentially leading to legal action for damages or specific performance.

Purchase Order

A document issued by a buyer to a seller, indicating types, quantities, and agreed prices for products or services.