This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: An accounting firm has noticed that of the companies it audits, 85 show no inventory shortages, 10 ... (Read 109 times)

APUS57

  • Hero Member
  • *****
  • Posts: 571
on: Jun 24, 2018
An accounting firm has noticed that of the companies it audits, 85 show no inventory shortages, 10 show small inventory shortages and 5 show large inventory shortages. The firm has devised a new accounting test for which it believes the following probabilities hold: P(company will pass test  no shortage) = .90 P(company will pass test  small shortage) = .50 P(company will pass test  large shortage) = .20
 a. If a company being audited fails this test, what is the probability of a large or small inventory shortage?
  b. If a company being audited passes this test, what is the probability of no inventory shortage?

Question 2

The interval estimate of the mean value of y for a given value of x is
 a. prediction interval estimate
  b. confidence interval estimate
  c. average regression
  d. x versus y correlation interval


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

angrybirds13579

  • Sr. Member
  • ****
  • Posts: 344
Reply #1 on: Jun 24, 2018
Answer to Question 1

a. .515
b. .927

Answer to Question 2

B


APUS57

  • Member
  • Posts: 571
Reply 2 on: Jun 24, 2018
Thanks for the timely response, appreciate it

parker125

  • Member
  • Posts: 332
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

« previous next »
 

Did you know?

Signs of depression include feeling sad most of the time for 2 weeks or longer; loss of interest in things normally enjoyed; lack of energy; sleep and appetite disturbances; weight changes; feelings of hopelessness, helplessness, or worthlessness; an inability to make decisions; and thoughts of death and suicide.

Did you know?

There are over 65,000 known species of protozoa. About 10,000 species are parasitic.

Did you know?

The U.S. Pharmacopeia Medication Errors Reporting Program states that approximately 50% of all medication errors involve insulin.

Did you know?

Signs and symptoms that may signify an eye tumor include general blurred vision, bulging eye(s), double vision, a sensation of a foreign body in the eye(s), iris defects, limited ability to move the eyelid(s), limited ability to move the eye(s), pain or discomfort in or around the eyes or eyelids, red or pink eyes, white or cloud spots on the eye(s), colored spots on the eyelid(s), swelling around the eyes, swollen eyelid(s), and general vision loss.

Did you know?

About 60% of newborn infants in the United States are jaundiced; that is, they look yellow. Kernicterus is a form of brain damage caused by excessive jaundice. When babies begin to be affected by excessive jaundice and begin to have brain damage, they become excessively lethargic.

Rebound Tenderness, Apply Firm Pressure to the Abdomen Rebound Tenderness, Apply Firm Pressure to the Abdomen
Early in the twentieth century, when malnutrition was common, companies such as this one advertised Early in the twentieth century, when malnutrition was common, companies such as this one advertised
Why would anyone decorate herself like this? Among the many reasons, one is to show solidarity ... Why would anyone decorate herself like this? Among the many reasons, one is to show solidarity ...
Older people who experienced stressful events in their younger years may show personal growth and ... Older people who experienced stressful events in their younger years may show personal growth and ...
Firm handshake Firm handshake
Food Labels Now Show Trans Fats Food Labels Now Show Trans Fats
Video: Negative Feedback Regulation of Blood Pressure

For a complete list of videos, visit our video library