An investment broker sells several kinds of investment products a stock fund, a bond fund, and a
Question:
An investment broker sells several kinds of investment products a stock fund, a bond fund, and a tax-deferred annuity. The broker wishes to study whether client satisfaction with its products and services depends on the type of investment product purchased. To do this, 109 of the broker's clients are randomly selected from all clients who have purchased shares in exactly one of the funds. The broker records the fund type purchased by each client and has one of its investment counselors personally contact the client. When contacted, the client is asked to rate his or her level of satisfaction with the purchased fund as high, medium, or low. The resulting data are given in the table below.
Level of Satisfaction | ||||
---|---|---|---|---|
Fund type | High | Medium | Low | Total |
Stocks | 31 | 6 | 2 | 39 |
Bonds | 16 | 20 | 3 | 39 |
Annuities | 3 | 10 | 18 | 31 |
Total | 50 | 36 | 23 | 109 |
(a) What is the probability that a randomly selected client purchased either a bond or annuity?
(b) If a randomly selected client purchased a stock fund, what is the probability this client was highly satisfied? (Use 3 decimals.)
Mathematical Applications for the Management, Life and Social Sciences
ISBN: 9781337625340
12th edition
Authors: Ronald J. Harshbarger, James J. Reynolds