Two percent of the units received at a warehouse are


Question: Two percent of the units received at a warehouse are defective. A nondestructive test procedure gives two percent false positive indications and five percent false negative. Units which fail to pass the inspection are sold to a salvage firm. This firm applies a corrective procedure which does not affect any good unit and which corrects 90 percent of the defective units. A customer buys a unit from the salvage firm. It is good. What is the (conditional) probability the unit was originally defective?

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Basic Statistics: Two percent of the units received at a warehouse are
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