A diagnostic test for a certain disease is believed to be 90% accurate in detecting the disease when in fact the person has the disease. Also, the test is believed to be 90% accurate in denying the disease when in fact the person does not have it. Only 1% of the population has the disease. A person is selected at random and the diagnostic test confirms the presence of the disease, what is the probability that the person actually has the disease?
Answer)
Lets say we have a sample size of 1000
It is mentioned that only 1% have the disease
So, 1% of 1000 = 10 have the disease and 990 do not
So, among those 10, 9 will be detected with the disease (as it is mentioned that 90% of the time person will be detected with the disease if he has the disease)
So,, true positive = 9
False negative = 10 - 9 = 1
Now if the person do not have the disease
Then he would not detected with the disease 90% of the time
True negative = 90% of 990 = 891
False positive = 990 - 891 = 99
Probability is given by favorable/total
Total = positive (presence of disease) = true positive + false positive = 9 + 99 = 108
Favorable = actually has the disease = true positive = 9
Required probability is 9/108 = 0.0833
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