Question

Suppose we have the following information, what percentage of future employees would be successful?

A test validity of .40,

When selecting 10 people out of 50,

A base rate of 50%

Answer 1

Answer:

Given,

Test validity = 0.40

Here we are selecting 10 people out of 50 i.e., 20%

Base rate = 50%

So we utilize the lawshe table to give the required probability

Now we see that in horizontal block which is corresponding to 50% base rate we will go along the row corresponding to given test validity i.e., 0.40:

Then we found that in that row we have to look at column which is corresponding to top 20% & at this intersection point, we found the probability

i.e., 0.73 or 73%

Required probability = 0.73 or 73%