In a bid two firms A and B competing against each other.If the probability of bid amount quoted by B being lower than that of A is 0.8 and if it is known that the bid is won by the ones who quotes the lowest price,what is the probability that A wins the bid?
option:-
(a)0.8 (b)0.004(c) 0.2(d) 0.001

• As we know we take total probability as 1.
  so, when the value of A is 0.8 then if we subtract it from 1 we get.
  1-0.8=0.2
  hence 0.2 is the probability that A wins the bid.
  Hope this answer will help you !!!
• 9 years agoHelpfull: Yes(12) No(0)
• a=2/10,b=8/10
  so a chances to win is
  2/10=0.2
• 9 years agoHelpfull: Yes(4) No(0)
• as per the question, probability of 'a' biding lower than 'b' = 1 - 0.8 = 0.2
  so probability of wining of 'a' = 0.2 (answer)
• 9 years agoHelpfull: Yes(4) No(1)
• 1-0.8=0.2
• 4 years agoHelpfull: Yes(2) No(0)