Interest paid after 30 years is $494,546.99.
Solution:
Principal (P) = $195,000
Interest rate (r) = 4.3%
Time (t) = 30 years
n = number of times interest calculated per year
n = 1
Compound interest formula:
where A is the final amount
A = 689546.99
Interest = Amount - Principal
= 689546.99 - 195000
= 494546.99
Interest paid after 30 years is $494,546.99.
Answer:
(a) The probability of getting someone who was not sent to prison is 0.55.
(b) If a study subject is randomly selected and it is then found that the subject entered a guilty plea, the probability that this person was not sent to prison is 0.63.
Step-by-step explanation:
We are given that in a study of pleas and prison sentences, it is found that 45% of the subjects studied were sent to prison. Among those sent to prison, 40% chose to plead guilty. Among those not sent to prison, 55% chose to plead guilty.
Let the probability that subjects studied were sent to prison = P(A) = 0.45
Let G = event that subject chose to plead guilty
So, the probability that the subjects chose to plead guilty given that they were sent to prison = P(G/A) = 0.40
and the probability that the subjects chose to plead guilty given that they were not sent to prison = P(G/A') = 0.55
(a) The probability of getting someone who was not sent to prison = 1 - Probability of getting someone who was sent to prison
P(A') = 1 - P(A)
= 1 - 0.45 = 0.55
(b) If a study subject is randomly selected and it is then found that the subject entered a guilty plea, the probability that this person was not sent to prison is given by = P(A'/G)
We will use Bayes' Theorem here to calculate the above probability;
P(A'/G) =
=
=
= <u>0.63</u>