Problem: A disease is present in 2 out of every 1000 people. There is a test to determine whether you have the disease. If you have the disease, the test correctly comes back positive 85% of the time. If we ran the test on 1000 random people, on average 8 results would come back positive, and 992 results would come back negative.
Required:
Question 1: If you don't have the disease, what is the probability the test incorrectly comes back as positive?
Question 2: If the test comes back positive, what is the probability you have the disease?
Question 3: If the test comes back negative, what is the probability you don't have the disease