Explanation : The odds of an event can be determined by dividing the probability of the
event occurring by the probability of the event not occurring. As a formula
this can be expressed as: P(E) / (1 – P(E)). In this case the probability of
the event (earning at least 15%) is 0.20 + 0.20 which 0.40. The probability
of the event not occurring (earning less than 15%) is 0.20 + 0.20 + 0.20 =
0.60. Hence the odds are 0.40/0.60 = 2/3.
This can also be written as 2 to 3.
Explanation : Two events, A and B, are independent if and only if
P(A│B) = P(A) or, equivalently, P(B│A) = P(B). The wording of the
question precludes P(A) = P(B); therefore, responses B and C cannot be