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11 December, 10:51

An insurance company divides its customers into 2 groups. twenty percent of customersare in the high-risk group, and eighty percent are in the low-risk group. the high-riskcustomers make an average of 1 accident per year while the low-risk customers make anaverage of 0.1 accidents per year. eric had no accidents last year. what is the probabilitythat he is a high-risk driver?

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  1. 11 December, 11:13
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    If Eric had no accidents than he would be classified as a low risk driver.
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