a) Start with a Venn Diagram and label the
different categories:

b) Fill in the number of students who own both
cars and stereos, which would be in the
intersection of the two sets:

c) Fill in the remaining numbers for the two
sets. In this case, since a total of 45 students
own cars, and 35 have already been listed, then 45
- 35 = 10 students own cars only. Similarly,
since 75 students own stereos and 35 have already
been listed, then 75 - 35 = 40 students who
own stereos only:

d) Finally, interpret and answer the
questions:
How many
students owned either a car or a
stereo?
The question asks either ... or which
is union of the sets.
From the diagram, the number of elements in A =
10 + 35
and the number of elements in B which are
NOT in A are 40.
So the union would be 10+35+40 = 85
How many students did
not own either a car or a stereo?
The question asks for the number not in
either A nor B
(namely, the complement of A
B or (A
B)'
).
Since there are 100 students in the universe,
then the complement is found
by subtracting those who own either a car or
stereo from the total number of students
surveyed
or 100 - 85 = 15.