I have a homework question and I'm not sure how to approach it. Straight formula or tree?
To me, 0.05 the false negative. But 0.96 does not seem like a false positive.
Your company is producing steel beams and the probability that a beam will be faulty is 0.08. The company is also experimenting with a new artificial intelligence (AI) test to examine whether a beam is faulty or not. The probability that the test will be accurate when the beam is indeed faulty is 0.96 but experience has shown that there is a chance of 0.05 for the AI test to wrongly classify a beam as faulty when it is not.
Calculate the probability that a beam will be correctly classified by the AI test as not faulty
Calculate the probability that a beam, following the AI test will be classified as faulty
Given that on a randomly chosen day the company is producing and testing 1,000 beams, how many of them will be classified by the AI test as faulty and will indeed be faulty?