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A rental car company offers two options when a car is rented. A renter can choose to pre purchase gas or not and can also choose to rent a GPS device or not. Suppose that the events
A = event that gas is pre purchased B = event that a GPS is rented are independent with P(A) = 0.20 and P(B) = 0.15.
a. Construct a “hypothetical 1000” table with columns corresponding to whether or not gas is pre purchased and rows corresponding to whether or not a GPS is rented.
b. Use the table to find P(A∪ B). Give a long run relative frequency interpretation of this probability. |
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