Airline tickets can be purchased online, by telephone, or by using a travel agent. Passengers who have a ticket sometimes don’t show up for their flights. Suppose a person who purchased a ticket is selected at random. Consider the following events: O = event selected person purchased ticket online N = event selected person did not show up for flight Suppose P(O) = 0.70, P(N) = 0.07, and P(O∩N) = 0.04.
a. Are the events N and O independent? How can you tell?
b. Construct a “hypothetical 1000” table with columns corresponding to N and not N and rows corresponding to O and not O.
c. Use the table to find P(O ∪ N). Give a relative frequency interpretation of this probability.