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Of 200 people the joint probability of being a female college graduate is 0.15, while the two separate probabilities multiply to 0.18. What does that show?
AGender and education are mutually exclusive
BGender and education are equally likely here
CGender and education are independent of each other
DGender and education are not independent of each other
Answer & Solution
Correct answer: D. Gender and education are not independent of each other
1. The product test compares the joint probability with the product of the two separate probabilities.
2. The joint probability is 30 divided by 200, which is 0.15.
3. The product of the separate probabilities is 0.45 times 0.40, which is 0.18.
4. Since 0.15 does not equal 0.18, gender and education are not independent.
5. The conditional test agrees, since 0.125 for high school given male does not match 0.135 overall.
6. They are not mutually exclusive either, because 30 people are both female and college graduates.
_Source: OpenStax Introductory Business Statistics (CC BY 4.0), Ch 3 "Probability Topics", section 3.5 Venn Diagrams_
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