A mutual fund company offers its customers a varietyof funds: a money-market fund, three different bondfunds (short, intermediate, and long-term), two stockfunds (moderate and high-risk), and a balanced fund.Among customers who own shares in just one fund,the percentages of customers in the different funds areas follows:Money-market 20% High-risk stock 18%Short bond 15% Moderate-riskstock 25%Intermediate Balanced 7%bond 10%Long bond 5%A customer who owns shares in just one fund is randomlyselected.a. What is the probability that the selected individualowns shares in the balanced fund?b. What is the probability that the individual ownsshares in a bond fund?c. What is the probability that the selected individualdoes not own shares in a stock fund?

MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
icon
Related questions
Topic Video
Question

A mutual fund company offers its customers a variety
of funds: a money-market fund, three different bond
funds (short, intermediate, and long-term), two stock
funds (moderate and high-risk), and a balanced fund.
Among customers who own shares in just one fund,
the percentages of customers in the different funds are
as follows:
Money-market 20% High-risk stock 18%
Short bond 15% Moderate-risk
stock 25%
Intermediate Balanced 7%
bond 10%
Long bond 5%
A customer who owns shares in just one fund is randomly
selected.
a. What is the probability that the selected individual
owns shares in the balanced fund?
b. What is the probability that the individual owns
shares in a bond fund?
c. What is the probability that the selected individual
does not own shares in a stock fund?

Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Optimization
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, statistics and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
MATLAB: An Introduction with Applications
MATLAB: An Introduction with Applications
Statistics
ISBN:
9781119256830
Author:
Amos Gilat
Publisher:
John Wiley & Sons Inc
Probability and Statistics for Engineering and th…
Probability and Statistics for Engineering and th…
Statistics
ISBN:
9781305251809
Author:
Jay L. Devore
Publisher:
Cengage Learning
Statistics for The Behavioral Sciences (MindTap C…
Statistics for The Behavioral Sciences (MindTap C…
Statistics
ISBN:
9781305504912
Author:
Frederick J Gravetter, Larry B. Wallnau
Publisher:
Cengage Learning
Elementary Statistics: Picturing the World (7th E…
Elementary Statistics: Picturing the World (7th E…
Statistics
ISBN:
9780134683416
Author:
Ron Larson, Betsy Farber
Publisher:
PEARSON
The Basic Practice of Statistics
The Basic Practice of Statistics
Statistics
ISBN:
9781319042578
Author:
David S. Moore, William I. Notz, Michael A. Fligner
Publisher:
W. H. Freeman
Introduction to the Practice of Statistics
Introduction to the Practice of Statistics
Statistics
ISBN:
9781319013387
Author:
David S. Moore, George P. McCabe, Bruce A. Craig
Publisher:
W. H. Freeman