# Question: A company buys components from two suppliers One produces components

A company buys components from two suppliers. One produces components that are of higher quality than the other. The high-quality supplier, call it Supplier A, has a defect rate of 2%. The low-quality supplier, Supplier B, has a defect rate of 10% but offers lower prices. This company buys in equal volume from both suppliers, with half of the orders going to each supplier.

(a) What is the probability that a component to be installed is defective?

(b) If a defective component is found, what is the probability it came from Supplier A?

(a) What is the probability that a component to be installed is defective?

(b) If a defective component is found, what is the probability it came from Supplier A?

## Relevant Questions

You fly from Philadelphia to San Francisco with a connection in Dallas. The probability that your fight from Philadelphia to Dallas arrives on time is 0.8. If you arrive on time, then the probability that your luggage makes ...Credit-card fraud costs business in the United States billions of dollars each year in stolen goods. Compounding the problem, the risk of fraud increases with the rapidly growing online retail market. To reduce fraud, ...Many state governments use lotteries to raise money for public programs. In a common type of lottery, a customer buys a ticket with a three-digit number from 000 to 999. A machine (such as one with bouncing balls numbered 0 ...A law firm takes cases on a contingent fee basis. If the case goes to trial, the firm expects to earn $25,000 as part of the settlement if it wins and nothing if it does not. The firm wins one-third of the cases that go ...The ATM at a local convenience store allows customers to make withdrawals of $10, $20, $50, or $100. Let X denote a random variable that indicates the amount withdrawn by a customer. The probability distribution of X is P ...Post your question