Steve Takes Either a Bus or the Subway to Go

question 118

Short Answer

Steve takes either a bus or the subway to go to work with probabilities 0.25 and 0.75, respectively. When he takes the bus, he is late 40% of the days. When he takes the subway, he is late 30% of the days. If Steve is late for work on a particular day, what is the probability that he took the bus?
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Definitions:

Concession Items

Products sold typically at entertainment venues, such as cinemas or sports arenas, often comprising snacks, drinks, and other quick-service foods.

Price Discriminate

A sales approach where the same goods or services are sold at varying prices to different buyers, depending on their readiness to spend.

Pure Monopolist

A single seller in a market that has no close substitutes, giving the seller complete control over the price and quantity of goods or services.

Profit-Maximizing

The act of adjusting production levels, prices, or other business operations to achieve the maximum profit.