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Question

The memers of a consulting firm rent cars from three rental agencies:
50% from agency X, 20% from agency Y and 20% from agency Z.
Form past experience, it is known that 9% of the cars from agency X need a service and tuning before renting, 12% of cars from agency Y need a service and tuning before renting and 10% of the cars from agency Z need a service and tuning before renting. If the rental car delivered to the firm need service and tuning, find the probability that agency Z is not to be blamed.

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Solution

Let E: the car needs service and tuning. Let E1,E2,E3 be the events that car is rented from agency X,Y,Z respectively.
So, P(E1)=50%,P(E2)=30%,P(E3)=20%,P(E|E1)=9%,P(E|E2)=12%,P(E|E3)=10%.
By Bayes' Theorem, P(E3|E)=P(E3)P(E|E3)P(E1)P(E|E1)+P(E|E2)+P(E3)P(E|E3)
P(E3|E)=2010×101005010×9100+3010×12100+2010×10100=2045+36+20=20101
P(E3|E)=1P(E3|E)=120101=81101.

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