Miles Driven per Year Insurance. By examining the past driving records of driver
ID: 3362898 • Letter: M
Question
Miles Driven per Year Insurance. By examining the past driving records of drivers in a certain city, an insurance company has determined the following (empirical) probabilities: 10,000- 15,000 inclusive, More than 15,000, M, than 10,000, Totals 50 50 Accident 10 20 No Accident Totals 15 30 25 45 10 1.0 lfdriver in ths oity is selected at random, what is the probablity that a.He or she drives less than 10,000 miles per year or has an acciden Type a decimal.) b.Haorsbe drives 10,000 or more mles per year and has no accidents? Type a decimalExplanation / Answer
If the driver in a city is selected at random,
probabilty that,
a.
he or she drives less than 10,000 miles per year or has an accident = 0.10/total = 0.10/1.0 = 0.10
b.
he or she drives 10,000 or more than miles per year or has no accident = 0.15/1.0 = 0.15