A person undergoes an HIV test which :
a)is totally accurate when tested on people with HIV
b)has 4% false alarm rate
The person tested positive to the test. This person belongs in a particular group for which, $1$ in $250$ people are expected to contract the virus.
What are the chances that this person has HIV ?
I have problem extracting the data but here is my try:
Let's say that we have 2 events
$S:sick$ and $P:positive$
So, $P(P|S)=0.96$ and $P(P'|S)=0,04$
We also get $P(P)=1/250$.
Am i correct? Any help would be appreciated.
$P(HIV|+) = \frac{P(HIV+)}{P(HIV+)+P(No\ HIV|+)} = \frac{.004}{.004+.03984} = .09124$
For me it helps to construct a table like the one below so I'm less likely to be confused by percentages of different categories :