Answer is (D) 0.63
Let E be the event that a new product is introduced.
Then P(A) = 0.5, P(B) = 0.3, P(C) = 0.2 and
P(E/A) = 0.7, P(E/B) = 0.6, P(E/C) = 0.5.
Since, A B, and C are mutually exclusive and exhaustive events.
P(E) = P(A).P(E/A) + P(B) . P(E/B) + P(C) . P(E/C)
= 0.5 x 0.7 + 0.3 x 0.6 + 0.2 x 0.5 = 0.35 + 0.18 + 0.10 = 0.63