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Alison Has All Her Money Invested in Two Mutual Funds

Question 36

Multiple Choice

Alison has all her money invested in two mutual funds, A and B. She knows that there is a 40% chance that fund A will rise in price, and a 60% chance that fund B will rise in price given that fund A rises in price. There is also a 20% chance that fund B will rise in price. What is the probability that at least one of the funds will rise in price?


A) 0.24
B) 0.36
C) 0.60
D) 0.76

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