# Question: Refer to the situation in Exercise 88 Suppose an employee

Refer to the situation in Exercise 88. Suppose an employee is chosen randomly and that the employee’s test identifes him/her as a drug user. Use Bayes’ theorem to revise the probability that the person chosen is actually a drug user.

In Exercise 88

Bolton Securities is about to implement a drug-testing procedure for company employees. In a recent anonymous survey, 20% of Bolton’s employees admitted to using illegal drugs. The random drug testing procedure is not infallible. In fact, about 5% of the time it will produce a false positive —that is, if the person being tested is NOT a drug user, there is a 5% probability that the test will nevertheless identify that person as a drug user. The test also has a probability of .08 of producing a false negative —about 8% of the time a drug user will be identifed as a non user.

In Exercise 88

Bolton Securities is about to implement a drug-testing procedure for company employees. In a recent anonymous survey, 20% of Bolton’s employees admitted to using illegal drugs. The random drug testing procedure is not infallible. In fact, about 5% of the time it will produce a false positive —that is, if the person being tested is NOT a drug user, there is a 5% probability that the test will nevertheless identify that person as a drug user. The test also has a probability of .08 of producing a false negative —about 8% of the time a drug user will be identifed as a non user.

## Answer to relevant Questions

The table below appeared in Exercise 6. It shows the type of business and the gender of the CEO for your firm’s five major clients: You plan to randomly choose one company from the group. Find the following ...Refer to Exercise 65. Construct a joint probability table for the situation described there. Use the table to compute the probability that In Exercise 65 Two newly hired employees at Gordian Yacht, a luxury boat ...Below is a table showing the probability distribution for the random variable “number of flaws” described in Exercise 3. Flaws Probability x P(x) 0....... .93 1....... .05 2....... .02 a. Graph the ...A study of restaurant failure rates that tracked turnover among 2500 restaurants in Columbus, Ohio, over a three-year period found that one in four restaurants close or change ownership within their first year of business. ...Look again at the poker probabilities in Exercise 20. If you draw 200 hands, with a fresh, shuffled deck for each hand, compute the expected number of hands in which you would have a. Two pair or better. b. A full house. c. ...Post your question