Question

Among a group of 2,500 people, 35 percent invest in municipal bonds, 18 percent invest in oil stocks, and 7 percent invest in both municipal bonds and oil stocks. If 1 person is to be randomly selected from the 2,500 people, what is the probability that the person selected will be one who invests in municipal bonds but not in oil stocks?

Answer 1

(A-B) = A-(A∩B)

         = 35-7 %

         = 28%

So, 28% of 2500 people = (2500*28/100) people

                                         = (25*28) people

                                         = 760 people.

760 people will invent money for the municipal bonds but, not for the oil stock.

So, P(E) = 760/2500

            = 76/250

            = 38/125

(Ans): 38/125