QuantForcesquant interview practice

RB_CH04_Q030. Disease 0.5% population test 7% false positive

difficulty 1500·answer type: expression·Not solved

Problem

A disease occurs with probability 0.5% in the population. There is a test for the disease. If you have the disease, the test returns a positive for sure. If you do not have the disease, the test returns a false positive 7% of the time. A random stranger is given the test and it returns a positive. What is the probability that the stranger has the disease?

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