In: Statistics and Probability
A test for a certain drug produces a false negative 3% of the time and a false positive 9% of the time. Suppose 12% of the employees at a certain company use the drug. If an employee at the company tests negative, what is the probability that he or she does use the drug?
TN : Test Negtive
TP : Test positive
D: uses the drug
: does not use the drug
False Negative : Test Negative when he or she does use drug = 3%
P(TN|D) = 3/100 =0.03
False positive : Test Positive when he or she does not use drug = 9%
P(TP|) = 9/100 =0.09
P(TN|) = 1 -P(TP|)=1-0.09 =0.91
Suppose 12% of the employees at a certain company use the drug
P(D) = 12/100 =0.12
P()=1-0.12 =0.88
If an employee at the company tests negative, probability that he or she does use the drug = P(D|TN)
P(D)P(TN|D) = 0.12 x 0.03 = 0.0036
P()P(TN|) = 0.88 x 0.91 = 0.8008
If an employee at the company tests negative, probability that he or she does use the drug = 0.004475385