A Screening Test for a Newly Discovered Disease Is Being

question 106

Multiple Choice

A screening test for a newly discovered disease is being evaluated. In order to determine the effectiveness of the new test, it was administered to 900 workers. 150 of the individuals diagnosed with the disease tested positive. A negative test finding occurred in 60 people who had the disease. A total of 50 persons without the disease tested positive for it. Assume the prior probability is not known.
-What was the sensitivity of the test?

• A) 71.4%
• B) 74.0%
• C) 92.8%
• D) 23.3%
• E) None of these is correct.

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Definitions:

Holding Cost

The expenses incurred for storing and maintaining inventory, including warehousing, insurance, and depreciation costs.

Monthly Demand

The total quantity of a product or service that consumers are willing and able to purchase within a calendar month.

Price Discrimination

A pricing strategy where a seller charges different prices for the same product or service to different customers, based on market conditions, customer characteristics, or the nature of the purchase.

Discounts

Reductions on the regular price of goods or services, usually offered to encourage purchases.