An oil company is evaluating a new prospect. Based on the current information, the company's geologists estimate

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An oil company is evaluating a new prospect. Based on the current information, the company's geologists estimate the probability of finding a commercial discovery is 65%. Further studies are then carried out that suggest a commercial discovery is certain. However, the probability of the studies giving a correct result is 80%. Calculate the posterior probability based on this additional information

Posted Date: May 19, 2024 05:18 AM

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An oil company is evaluating a new prospect. Based on the current information, the company's geologists estimate

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