Question

Two TVs are randomly selected from a large shipment. Each has a 0.03 probability of being defective. Calculate Pr{ both good }.

Answer 1

If chosen TV has a probability 0.03 of being defective, then the probability of being OK is 0.97. Thus, if we choose 2 TVs, the probability that both of them works fine is $P=0.97\cdot0.97=0.9409$.