Question

The editor of a textbook publishing company is trying to decide whether to publish a proposed business statistics textbook. Information on previous textbooks published indicate that 10% are huge successes, 20% are modest successes, 40% break even, and 30% are losers. However, before a publishing decision is made, the book will be reviewed. In the past, 97% of the huge successes received favorable reviews, 70% of the moderate successes received favorable reviews, 50% of the break-even books received favorable reviews, and 20% of the losers received favorable reviews. Complete parts (a) and (b). a. If the proposed textbook receives a favorable review, how should the editor revise the probabilities of the various outcomes to take this information into account? The probability that if the proposed textbook receives a favorable review, the book will be a huge success is . (Round to three decimal places as needed.)

          The editor of a textbook publishing company is trying to decide whether to publish a proposed business statistics textbook. Information on previous textbooks published indicate that 10% are huge successes, 20% are modest successes, 40% break even, and 30% are losers. However, before a publishing decision is made, the book will be reviewed. In the past, 97% of the huge successes received favorable reviews, 70% of the moderate successes received favorable reviews, 50% of the break-even books received favorable reviews, and 20% of the losers received favorable reviews. Complete parts (a) and (b).

a. If the proposed textbook receives a favorable review, how should the editor revise the probabilities of the various outcomes to take this information into account?

The probability that if the proposed textbook receives a favorable review, the book will be a huge success is . (Round to three decimal places as needed.)

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The editor of a textbook publishing company is trying to decide whether to publish a proposed business statistics textbook. Information on previous textbooks published indicate that 10% are huge successes, 20% are modest successes, 40% break even, and 30% are losers. However, before a publishing decision is made, the book will be reviewed. In the past, 97% of the huge successes received favorable reviews, 70% of the moderate successes received favorable reviews, 50% of the break-even books received favorable reviews, and 20% of the losers received favorable reviews. Complete parts (a) and (b).

a. If the proposed textbook receives a favorable review, how should the editor revise the probabilities of the various outcomes to take this information into account?

The probability that if the proposed textbook receives a favorable review, the book will be a huge success is . (Round to three decimal places as needed.)

Added by Pamela H.

Elementary Statistics a Step by Step Approach

Allan G. Bluman 9th Edition

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Solved by Expert Sri K

02/26/2023

Step 1

A2: The book is a moderate success. A3: The book is a break-even. A4: The book is a loser. B: The book receives a favorable review. We are given the following probabilities: P(A1) = 0.10 P(A2) = 0.20 P(A3) = 0.40 P(A4) = 0.30 P(B|A1) = 0.70 P(B|A2) = Show more…

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The editor of a textbook publishing company is trying to decide whether to publish a proposed business statistics textbook. Information on previous textbooks published indicate that 10% are huge successes, 20% are modest successes, 40% break even, and 30% are losers. However, before a publishing decision is made, the book will be reviewed. In the past, 97% of the huge successes received favorable reviews, 70% of the moderate successes received favorable reviews, 50% of the break-even books received favorable reviews, and 20% of the losers received favorable reviews. Complete parts (a) and (b). a. If the proposed textbook receives a favorable review, how should the editor revise the probabilities of the various outcomes to take this information into account? The probability that if the proposed textbook receives a favorable review, the book will be a huge success is . (Round to three decimal places as needed.)

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00:01 Hello, let's have a look on the question.

00:03 So we have, let us say, a1 is the percentage of getting youth success.

00:21 So this is the percentage of textbook published getting youth success and this is equal to 10%.

00:26 So from here we can write that probability of a1 will be equal to 10 divided by 100 which is equal to 0 .1.

00:33 Then we have a2.

00:35 Probability of textbook getting modest success.

00:37 That is a2 is the percentage of modest success which is equal to 20%.

00:51 So from here we can say that probability of a2 will be equal to 20 by 100 which is equal to 0 .2.

00:57 Next we have a3 which is textbook which break even is percentage of textbook which break even that is 40%.

01:22 So probability of a3 will be equal to.

01:25 40 divided by 100 that is equal to 0 .4.

01:29 Next we have a4.

01:31 A4 that is the percentage of of book which are loser is equal to 30%.

01:49 So probability of a4 will be equal to 30 by 100 that is equal to 0 .3.

01:56 Now define an event f.

01:59 We define an event f which is equal to probability of getting probability of getting favorable review favorable review now we have percentage of favorable review percentage of favorable review for youth success books or we can say for a1 is equal to 97 percent so from here we can write the probability of favorable review for a book with youth success is a1 will be equal to 97 divided by 100 which is equal to 0 .97.

02:50 Next we have percentage of favorable review obtained by textbook of moderate success that is moderate success was a2.

02:57 Percentage of favorable review for a2 is equal to 70%.

03:02 So we can write that probability of favorable review obtained by textbook with modest profit that is a2 will be equal to 70 by 100 which is equal to 0...

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