- #1
dirtybiscuit
- 8
- 1
Homework Statement
Five companies (A,B,C,D and E) that make electrical relays compete each year to be the sole supplier of relays to a major automobile manufacturer. The auto company's records show that the probabilities of choosing a company to be the sole supplier are
Supplier chain: A B C D E
Probability: .20 .25 .15 .30 .10
A) Suppose that supplier E goes out of business this year, leaving the remaining four companies to compete with one another. What are the new probabilities of companies A,B,C and D being chosen as the sole supplier this year?
B) Suppose the auto company narrows the choice of suppliers to companies A and C. What is the probability that company A is chosen this year?
Homework Equations
I'm truly not sure where to start on this. I feel like E' = .9 is relevant to find each. Like P(A|E') but I'm having trouble figuring out where to go.
The Attempt at a Solution
P(A|E') = P(A and E')/P(E') = P(A)*P(E')/P(E') = P(A) ...yeah I'm obviously confused ;)