Use the following to answer the question(s) below.
A survey of investors finds that 60% use a full service brokerage firm to invest in stocks, 30% trade stocks online and 24% do both.
-What is the probability that an investor selected at random neither uses a full service brokerage firm to invest in stocks nor trades online is
A) 90%
B) 66%
C) 34%
D) 10%
E) 60%

Question

Quizplus · Accepted Answer

The probability that an investor neither uses a full service brokerage firm nor trades online is calculated using the formula for the union of two events: P(A ∪ B) = P(A) + P(B) - P(A ∩ B). Here, P(A) = 60%, P(B) = 30%, and P(A ∩ B) = 24%. So, P(A ∪ B) = 60% + 30% - 24% = 66%. Therefore, the probability that an investor does neither is 1 - 66% = 34%.

Use the Following to Answer the Question(s) Below