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Tests for the presence of the virus are imperfect

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Unformatted text preview: ­tenth of 1% of all individuals are infected with the HIV virus that causes AIDS. Tests for the presence of the virus are imperfect: suppose that 95% of those who are infected test positive, 2% of those who really are not infected also test positive. If a randomly chosen person tests positive, what is the probability that the person really has AIDS? Use a probability tree for your calculations. 3. A department store is considering a new credit policy to try and reduce the number...
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