A certain disease has an incidence rate of 0.5%. If the false negative rate is 7% and the false positive rate is 2%, compute the probability that a person who tests positive actually has the disease.

Well, well, well, isn't statistics just a barrel of laughs? Let's dive in and have some fun with probabilities!

To calculate the probability of a person actually having the disease after testing positive, we need to utilize Bayes' theorem. It goes a little something like this:

P(A|B) = (P(B|A) * P(A)) / P(B)

Where:
P(A|B) - the probability of A given B
P(B|A) - the probability of B given A
P(A) - the probability of A
P(B) - the probability of B

In our case, A represents having the disease, and B represents testing positive. So let's plug in the numbers!

P(A) = 0.005 (incidence rate of the disease)
P(B|A) = 1 - 0.07 = 0.93 (1 - false negative rate)
P(B) = (0.005 * 0.93) + (0.995 * 0.02) ≈ 0.025 (probability of testing positive)

Now we can calculate the probability of having the disease given a positive test result:

P(A|B) = (0.93 * 0.005) / 0.025 ≈ 0.186 or 18.6%

So, if my calculations didn't get lost in the statistical circus, there's about an 18.6% chance that a person who tests positive actually has the disease. Don't worry, though – if you want to double-check my math, I'll be here juggling numbers and silly jokes!

To compute the probability that a person who tests positive actually has the disease, we can use Bayes' theorem.

Let's define the following:

A: Person has the disease
B: Person tests positive

We are given the following probabilities:

P(A) = 0.005 (incidence rate)
P(B|A') = 0.02 (false positive rate)
P(B'|A) = 0.07 (false negative rate)

We want to find P(A|B), the probability that a person has the disease given that they test positive.

Bayes' theorem states:
P(A|B) = (P(B|A) * P(A)) / P(B)

We can calculate the denominator P(B) using the law of total probability:
P(B) = P(B|A) * P(A) + P(B|A') * P(A')

Let's substitute the given values into the formula:

P(B) = (0.02 * 0.005) + (0.07 * (1 - 0.005))

Simplifying further:
P(B) = 0.0001 + 0.06965
P(B) = 0.06975

Now, let's calculate P(A|B):

P(A|B) = (0.02 * 0.005) / 0.06975

Simplifying further:
P(A|B) = 0.0001 / 0.06975
P(A|B) ≈ 0.001432

Therefore, the probability that a person who tests positive actually has the disease is approximately 0.001432, or 0.1432%.

To determine the probability that a person who tests positive actually has the disease, we can use Bayes' theorem. Bayes' theorem describes how to update a probability based on new evidence.

Let's break down the information given:

Incidence rate of the disease: 0.5% or 0.005
False negative rate: 7% or 0.07
False positive rate: 2% or 0.02

We need to calculate the probability of having the disease given a positive test result. Let's denote the events as follows:

A: Having the disease
B: Testing positive

We need to calculate P(A | B), the probability of having the disease given a positive test result. According to Bayes' theorem:

P(A | B) = [P(B | A) * P(A)] / P(B)

To calculate P(B | A), this represents the probability of testing positive given that the person has the disease, which is equal to 1 - false negative rate:

P(B | A) = 1 - 0.07 = 0.93

P(A) is the incidence rate of the disease:

P(A) = 0.005

P(B) can be calculated using the Law of Total Probability, considering both true and false positive cases:

P(B) = P(B | A) * P(A) + P(B | ¬A) * P(¬A)

P(B | ¬A) represents the probability of testing positive given that the person does not have the disease, which is equal to the false positive rate:

P(B | ¬A) = 0.02

P(¬A) is the complement of P(A), representing the probability of not having the disease:

P(¬A) = 1 - P(A) = 1 - 0.005 = 0.995

Now we can calculate P(B):

P(B) = P(B | A) * P(A) + P(B | ¬A) * P(¬A)
= 0.93 * 0.005 + 0.02 * 0.995
≈ 0.00465 + 0.0199
≈ 0.02455

Finally, we can calculate P(A | B) using Bayes' theorem:

P(A | B) = [P(B | A) * P(A)] / P(B)
= (0.93 * 0.005) / 0.02455
≈ 0.00465 / 0.02455
≈ 0.1891

Therefore, the probability that a person who tests positive actually has the disease is approximately 0.1891 or 18.91%.