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Financial Risk Manager Part 1

Financial Risk Manager Part 1

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In a portfolio containing a total of 1,000 subprime mortgages and 600 prime mortgages, it is identified that 200 of the subprime mortgages and 48 of the prime mortgages are overdue. Calculate the probability that a mortgage selected at random from the overdue mortgages is categorized as a subprime mortgage.

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