
Steven S. answered 07/19/22
Experienced Tutor Specializing in Probability and Statistics
This is a classic Bayes' Law problem (and conditional probability). Let C represent COVID-19 and + represent a positive test. From the problem statement,
P(C) = 0.81
P(+ | C) = 0.93
P(+ | not C) = 0.03
P(C | +) = ?
Using Bayes' Law, P(C | +) = (P(+ | C) * P(C)) / P(+)
You can find P(+) using the law of total probability: P(+) = P(+ | C) * P(C) + P(+ | not C) * P(not C)
To find P(not C), you can use the fact that either people have COVID-19 or not. So, P(C) + P(not C) = 1.