A mutual fund company offers its customers a varietyof funds: a money-market fund, three different bondfunds (short, intermediate, and long-term), two stockfunds (moderate and high-risk), and a balanced fund.Among customers who own shares in just one fund,the percentages of customers in the different funds areas follows:Money-market 20% High-risk stock 18%Short bond 15% Moderate-riskstock 25%Intermediate Balanced 7%bond 10%Long bond 5%A customer who owns shares in just one fund is randomlyselected.a. What is the probability that the selected individualowns shares in the balanced fund?b. What is the probability that the individual ownsshares in a bond fund?c. What is the probability that the selected individualdoes not own shares in a stock fund?
A mutual fund company offers its customers a variety
of funds: a money-market fund, three different bond
funds (short, intermediate, and long-term), two stock
funds (moderate and high-risk), and a balanced fund.
Among customers who own shares in just one fund,
the percentages of customers in the different funds are
as follows:
Money-market 20% High-risk stock 18%
Short bond 15% Moderate-risk
stock 25%
Intermediate Balanced 7%
bond 10%
Long bond 5%
A customer who owns shares in just one fund is randomly
selected.
a. What is the
owns shares in the balanced fund?
b. What is the probability that the individual owns
shares in a bond fund?
c. What is the probability that the selected individual
does not own shares in a stock fund?
Trending now
This is a popular solution!
Step by step
Solved in 3 steps