Randall Realty has two rental properties available.The agent assesses a 0.6 probability that property A will be rented by the end of the month, and a probability of 0.8 that property B will be rented by the end of the month.She also believes there is a 0.5 probability that both properties will be rented by the end of the month.Is the renting of property A independent of the renting of property B?
A)Yes, since P(A rents given B rents) is equal to P(A rents).
B)No, since P(A rents given B rents) is not equal to P(B rents).
C)No, since P(A rents given B rents) is not equal to P(A rents).
D)Yes, since P(A rents given B rents) is equal to P(B rents).
E)Yes, since P(B rents given A rents) is equal to P(B rents).

Question

Quizplus · Accepted Answer

For two events to be independent, the probability of one event occurring should not affect the probability of the other event occurring. The probability that A rents given B rents can be calculated using the formula for conditional probability: P(A rents given B rents) = P(A and B rent) / P(B rents) = 0.5 / 0.8 = 0.625. Since this is not equal to P(A rents), which is 0.6, the renting of property A is not independent of the renting of property B.

Randall Realty Has Two Rental Properties Available