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In problem 2-31, are the events "hospitalization" and "the claim being from the Midwest" independent of each other?
Problem 2-31
The following table gives numbers of claims at a large insurance company by kind and by geographic region.

 

East

South

Midwest

West

Hospitalization

75

128

29

52

Physician's visit

233

514

104

251

Outpatient treatment

100

326

65

99

Compute column totals and row totals. What do they mean?
a. If a bill is chosen at random, what is the probability that it is from the Midwest?

b. What is the probability that a randomly chosen bill is from the East?

c. What is the probability that a randomly chosen bill is either from the Midwest or from the South? What is the relation between these two events?

d. What is the probability that a randomly chosen bill is for hospitalization?

e. Given that a bill is for hospitalization, what is the probability that it is from the South?

f. Given that a bill is from the East, what is the probability that it is for a physician's visit?

g. Given that a bill is for outpatient treatment, what is the probability that it is from the West?

h. What is the probability that a randomly chosen bill is either from the East or for outpatient treatment (or both)?

i. What is the probability that a randomly selected bill is either for hospitalization or from the South (or both)?

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