So the answer to the question in the topic is (B) ~0.33 (can't see the answer because of the paywall)?
Doesn't seem to be a particularly tricky question unless I miss something, just basic probability theory calcs.
Doesn't seem to be a particularly tricky question unless I miss something, just basic probability theory calcs.
I can see the trap of forgetting to add 2x∙x in the calculation (since we don't want to double count the case where they purchase both insurances). And choices d and e follow from forgetting to subtract the probability of purchasing either from 1 (and making the same mistake of not removing the double count). I'm curious where the .48 distractor comes from. Coming up with good distractors is the secret to making a multiple choice test hard (students tend to think that multiple choice will be easier than a fill in the blank test, but they forget that with free answer exams, they can still get partial credit where in a multiple choice test, they'll lose all credit for a small mistake).
Rarely had a prof that had the patience for that, vs. a simple red X. Not arguing, it's just my anecdote of frustration.