Question: A large midwestern bank has devised a math aptitude test that it claims provides valuable input into the hiring decision for bank tellers. The bank's

A large midwestern bank has devised a math aptitude test that it claims provides valuable input into the hiring decision for bank tellers. The bank's research indicates that 60 percent of all tellers hired by midwestern banks are classified as performing satisfactorily in the position at their initial 6-month performance review, while the rest are rated as unsatisfactory. Of the tellers whose performance is rated as satisfactory, 90 percent had passed the math aptitude test. Of the tellers who were rated unsatisfactory, only 20 percent had passed the math aptitude test.

a. What is the probability that a teller would be rated as satisfactory at her 6-month performance review, given that she passed the math aptitude test?

b. What is the probability that a teller would be rated as satisfactory at her 6-month performance review, given that she did not pass the math aptitude test?

c. Does the test seem to be an effective screening device to use in hiring tellers for the bank? Why or why not?

Step by Step Solution

★★★★★

3.40 Rating (144 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Statistics Principles And Methods Questions!

Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...

The Crazy Eddie fraud may appear smaller and gentler than the massive billion-dollar frauds exposed in recent times, such as Bernie Madoffs Ponzi scheme, frauds in the subprime mortgage market, the...

Googles ease of use and superior search results have propelled the search engine to its num- ber one status, ousting the early dominance of competitors such as WebCrawler and Infos- eek. Even later...

12. A large midwestern bank has devised a math aptitude test that it claims provides valuable input into the hiring decision for bank tellers. The banks research indicates that 60 percent of all...

Is it possible to estimate the ROI of training for all training programs? Which are more or less susceptible to this calculation? 6 TRAINING AND DEVELOPMENT CFO asks CEO, 'What happens if we invest...

A vendor is recommending a program to make supervisors better at 'dealing with difficult conversations' at work. How would you apply the concepts of optimisation and the Kirkpa- trick model to set up...

The discussion will focus on management decision-making and control in two companies, American corporation Amazon.com, Inc. and Chinese company Alibaba Group Holding Limited. Decision-making and...

Summarize the following chapter: (Basic elements of organizing) The Organizing Process organization.2 As you will see in this chapter, managing the basic frameworks that organizations use to get...

Summarize the following chapter in your words: (Basic elements of organizing) The Organizing Process organization.2 As you will see in this chapter, managing the basic frameworks that organizations...

Wesleyan Economic Working Papers http://repec.wesleyan.edu/ No: 2012-006 Closing the Gender Gap: What Would It Take? Joyce P. Jacobsen January, 2012 Department of Economics Public Affairs Center 238...

1) Payback and rate of return are financial tools used in capital budgeting to decide the viability of investments over a period of time. In this context, respond to the following: A) What are the...

In most enzymes , the active site consists of only a few amino acids interacting with the substrate are the rest of the amino acids necessary

Abby sold her weincorpornted businew that consisted of equipenent and goodwill. The equipeneat had an original cont goodwill. The sales price for the lesiness was $ 2 5 0 , 0 0 0 , with $ 1 5 0 , 0 0...

3. In fact, Adam doesnt have sufficient cash to cover all his debts including his (substantial) student loans. The loans have a 10% APR, and any money spent on the car could not be used to pay down...

In a study of eating disorders in female adolescents, Gross (1985) asked each of her participants whether they would prefer to gain weight, lose weight, or maintain their current weight. (Note: Only...

Stress has long been known to influence physical health. Visintainer, Volpicelli, and Seligman (1982) investigated the hypothesis that rats given 60 trials of inescapable shock would be less likely...

What does the answer to Exercise 19.16 say about the effects of sample size on the power of an experiment?

Hanson Company is constructing a building. Construction began on February 1 and was completed on December 31. Expenditures were $1,812,000 on March 1, $1,224,000 on June 1, and $3,050,700 on December...

Please answer all parts of question 2 . Please include all steps and work for the answers including the correct calculations when needed or asked. ammonia. Prior to use as a catalyst, the molybdenum...

2. If you pay for $25.00 for purchase which includes 11% sales tax. How much is the sales tax? A) $2.48 B) $2.75 C) $3.00 D) $2.55 - the answer is A but why the answer is A? please explain step by...