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An insurance company insured 2000 scooters and 3000 motorcycles. The probability of an accident involving a scooter is 0.01 and that of a motorcycle is 0.02. An insured vehicle met with an accident. Find the probability that the accidented vehicle was a motorcycle.

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Given:

Company insured 2000 scooters and 3000 motorcycles

Let us assume U1, U2 and A be the events as follows:

U1 = choosing Scooter

U2 = choosing Motorcycle

A = accident involving vehicle

From the problem

⇒ P(A|U1) = P(accident involving scooter)

⇒ P(A|U1) = 0.01

⇒ P(A|U2) = P(accident involving motorcycles)

⇒ P(A|U2) = 0.02

Now we find

P(U2|A) = P(The vehicle involved in an accident is motorcycle)

Using Baye’s theorem:

∴ The required probability is \(\cfrac34.\)

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