Financial Risk Manager Part 1
Get started today
Ultimate access to all questions.
Deep dive into the quiz with AI chat providers.
We prepare a focused prompt with your quiz and certificate details so each AI can offer a more tailored, in-depth explanation.
If A = P(wins first event) and B = P(wins second event), then we are told: P(A) = 0.3; P(B) = 0.4; and P(A ∩ B) = 0.1. We want P(A ∪ B).
Exam-Like
Community
TTanishq
A
0.5
B
0.7
C
0.6
D
0.8
Explanation:
Explanation
To find P(A ∪ B), we use the formula for the probability of the union of two events:
Given:
- P(A) = 0.3
- P(B) = 0.4
- P(A ∩ B) = 0.1
Substituting the values:
Therefore, the probability that the team wins at least one of the two events is 0.6.
Key Concepts:
- Union Probability: The probability that at least one of the events occurs
- Intersection Probability: The probability that both events occur simultaneously
- Inclusion-Exclusion Principle: Accounts for the overlap between events to avoid double-counting
Comments
Loading comments...