Question

Monthly spending ($)

 

 

 

 

 

 

Age

20s

30s

$0.00 - $49.99

75

29

$50.00 - $99.99

91

83

$100.00 - $149.99

113

90

$150.00 - $199.99

89

128

$200.00 - $249.99

63

159

$250.00 or more

34

46

Total customers

465

535

 

a. 

b. Are the events “age of 30s” and “monthly spending of $250.00 or more” independent? Explain using probabilities.

Answer 1

Two events, A and B, are independent if $P(A|B)=P(A)$ and P(B|A)=P(B).

Let A is the event "age 30s", B is the event "monthly spending of $250.00 or more".

Then $P(A|B)=46/1000, P(A)=535/1000$

$P(A|B)\neq P(A)$. So, these events are dependent.