Question

The probability of Jamie making money investing in bonds is 1/20. The probability of Jamie making money investing in stocks is 82%. Which of these events is more likely?

Answer 1

1/20 = 5%
This is less than 82%.

It is more likely that Jamie will make money by investing in stocks.

Answer 2

Answer: The event of making money by investing in stock by Jamie is more likely.

Step-by-step explanation:

Since we have given that

Probability of Jamie making money investing in bonds = $\dfrac{1}{20}\times 100=5\%$

Probability of Jamie making money investing in stocks = 82%

So, we need to find the most likely event.

Since 82% > 5%

As we can see that Jamie making money investing in stocks has the highest probability between the two,

So, the event of making money by investing in stock by Jamie is more likely.