The Table Below Shows the Soft Drinks Preferences of People

question 10

Multiple Choice

The table below shows the soft drinks preferences of people in three age groups. $\begin{array}{r|ccc} & \text { cola } & \text { root beer } & \text { lemon-lime } \\\hline \text { under 21 years of age } & 40 & 25 & 20 \\\text { between 21 and 40 } & 35 & 20 & 30 \\\text { over 40 years of age } & 20 & 30 & 35\end{array}$
If one of the 255 subjects is randomly selected, find the probability that the person drinks root beer given that the over 40

• A) \(\frac { 6 } { 17 }\)
• B) \(\frac { 2 } { 17 }\)
• C) \(\frac { 2 } { 5 }\)
• D) None of the above is correct.

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Definitions:

Perfect Competition

A market structure characterized by a large number of small firms, identical products, and freedom of entry and exit, leading to price-taking behavior.

Monopoly

A market structure characterized by a single seller, selling a unique product in the market. The seller faces no competition, as he is the sole seller of goods with no close substitute.

Average Cost

This is the total cost divided by the number of goods produced, representing the cost on average for each unit produced.

Marginal Cost

The financial commitment for producing one more unit of a product or service.