Data on incomes and salary ranges for a certain population are analyzed as follows. event annual income is less than $25,000; event annual income is between $25,000 and $100,000; event annual income is greater than $100,000. event did not complete college education; event of completion of bachelor's degree; event of completion of graduate or professional degree program. Data may be tabulated as follows: , and .
| S1 | S2 | S3 | |
| E1 | 0.85 | 0.10 | 0.05 |
| E2 | 0.10 | 0.80 | 0.10 |
| E3 | 0.05 | 0.50 | 0.45 |
| 0.50 | 0.40 | 0.10 |
- Determine .
- Suppose a person has a university education (no graduate study). What is the (conditional) probability that he or she will make $25,000 or more?
- Find the total probability that a person's income category is at least as high as his or her educational level.
Pfeiffer, Applied Probability, 3.2 Problems on Conditional Probability, exercise 10