Question

An oil explorer performs a test to determine whether oil is likely to be found in...

An oil explorer performs a test to determine whether oil is likely to be found in a certain area. The probability that the test indicates a presence of oil is 90% if oil is needed present in the test area, and the probability of a false positive is 15% if no oil is present in the test area. Before the test is done, the explorer believes that the probability of presence of oil in the test area is 40%.
1- Construct the tree diagram
2- Find the probability that the test gives the correct results
3- What is the probability of oil being present in the test area given that the test gives a positive signal.

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