According to a survey of American households, the probability that the residents own two cars if annual household income is over $50,000 is 80%. Of the households surveyed, 60% had incomes over $50,000 and 70% had two cars. The probability that the residents of a household do not own two cars and have an income over $50,000 a year is ________.
A) 0.12
B) 0.18
C) 0.22
D) 0.48

Question

Quizplus · Accepted Answer

The probability that a household has an income over $50,000 and owns two cars is 0.6 * 0.8 = 0.48. The probability that a household has an income over $50,000 is 0.6. Therefore, the probability that a household has an income over $50,000 but does not own two cars is 0.6 - 0.48 = 0.12.

According to a Survey of American Households, the Probability That