Answer:
0.9506
Explanation:
Pr(A) = 0.02
Pr(B) = 0.03
Pr(both) = 0.007
So,
Pr(Not A) = 1 - Pr(A)
= 1 - 0.02
= 0.98
Pr(Not B) = 1 - Pr(B)
= 1 - 0.03
= 0.97
Pr(Not by both) = 1 - Pr(both)
= 1 - 0.007
= 0.993
Thus,
Pr(Not B) or Pr(Not A) = 0.97 × 0.98
= 0.9056
∴ the probability that the house would not be damaged by a hurricane or an earthquake during the year is 0.9506.