Question

Companies have many different reasons for giving training to employees. Among them are employee loyalty, employee retention, and quality of employee work. Suppose 65% of all companies give some training to their employees but that this figure varies by company size. Suppose further that 18% of all companies that give training are small companies and that 75% of all companies that do not give training are small companies. A company is randomly sampled without regard to size.

Let T – event that a company gives employee training    S – event that a company is small in size

a. Construct a probability matrix.

b. Use the constructed matrix to evaluate the following probabilities. Express each unknown in probability notation.

i. probability that the selected company is small in size

ii. probability that the selected company does not give training and is not small in size

iii. probability that the selected company either does not give training or is small in size

Answer 1