question archive A public-interest group was planning to make a court challenge to auto insurance rates in one of three cities: Atlanta, Baltimore, or Cleveland

A public-interest group was planning to make a court challenge to auto insurance rates in one of three cities: Atlanta, Baltimore, or Cleveland

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A public-interest group was planning to make a court challenge to auto insurance rates in one of three cities: Atlanta, Baltimore, or Cleveland. The probability that it would choose Atlanta was 0.40; Baltimore, 0.35; and Cleveland, 0.25. The group also knew that it had a 60 percent chance of a favorable ruling if it chose Baltimore, 45 percent if it chose Atlanta, and 35 percent if it chose Cleveland. If the group did receive a favorable ruling, which city did it most likely choose?

 

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The answer is Baltimore. 

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