Customer backgrounds.
A company that offers courses to prepare would-be M.B.A. students for the GMAT examination has the following information about its customers: 20% are currently undergraduate students in business; 15% are undergraduate students in other fields of study; 60% are college graduates who are currently employed; and 5% are college graduates who are not employed.
(a) This is a legitimate assignment of probabilities to customer backgrounds. Why?
(b) What percent of customers are currently undergraduates?