1. A survey was conducted to test relative aptitudes in quantitative and logical reasoning of MBA applicants. It is perceived (prior to the survey) that 80 percent of MBA applicants are extremely good in logical reasoning, while the other 20 percent are extremely good in quantitative aptitude. Further, it is believed that those with strong quantitative knowledge are also sound in data interpretation, with conditional probability as high as 0.87. However, some MBA applicants who are extremely good in logical reasoning can be also good in data interpretation, with conditional probability 0.15. An applicant surveyed is found to be strong in data interpretation. The probability that the applicant is also strong in quantitative aptitude is
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By: anil on 05 May 2019 02.39 am
We are given that 80% MBA applicants are extremely good in logical reasoning. Also, some MBA applicants who are extremely good in logical reasoning can be also good in data interpretation, with conditional probability 0.15. Therefore, the probability of that an applicant is sound in data interpretation as well as logical reasoning = 0.80*0.15 = 0.12 We are given that the other 20 percent are extremely good in quantitative aptitude. Also, some MBA applicants who are extremely good in quantitative aptitude can be also good in data interpretation, with conditional probability 0.87.
Therefore, the probability of that an applicant is sound in data interpretation as well as quantitative aptitude = 0.20*0.87 = 0.174 An applicant surveyed is found to be strong in data interpretation then probability that the applicant is also strong in quantitative aptitude is = $$dfrac{0.174}{0.174+0.12} approx$$ 0.60. Hence, option B is the correct answer.
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Therefore, the probability of that an applicant is sound in data interpretation as well as quantitative aptitude = 0.20*0.87 = 0.174 An applicant surveyed is found to be strong in data interpretation then probability that the applicant is also strong in quantitative aptitude is = $$dfrac{0.174}{0.174+0.12} approx$$ 0.60. Hence, option B is the correct answer.