# Question: A company provides earthquake insurance The premium X is modeled

A company provides earthquake insurance. The premium X is modeled by the pdf

While the claims Y have the pdf

If X and Y are independent, find the pdf of Z = X/Y.

While the claims Y have the pdf

If X and Y are independent, find the pdf of Z = X/Y.

**View Solution:**## Answer to relevant Questions

Let W have an F distribution with parameters r1 and r2. Show that Z = 1/[1 + (r1/r2)W] has a beta distribution. Let X1, X2, X3 denote a random sample of size n = 3 from a distribution with the geometric pmf (a) Compute P(X1 = 1, X2 = 3, X3 = 1). (b) Determine P(X1 + X2 + X3 = 5). (c) If Y equals the maximum of X1, X2, X3, find P(Y ≤ ...Let X1 and X2 be a random sample of size n = 2 from the exponential distribution with pdf f(x) = 2e−2x, 0 < x < ∞. Find (a) P(0.5 < X1 < 1.0, 0.7 < X2 < 1.2). (b) E[X1(X2 − 0.5)2]. The time X in minutes of a visit to a cardiovascular disease specialist by a patient is modeled by a gamma pdf with α = 1.5 and θ = 10. Suppose that you are such a patient and have four patients ahead of you. Assuming ...5 . 5 - 2 . Let X be N(50, 36). Using the same set of axes, sketch the graphs of the probability density functions of (a) X. (b) , the mean of a random sample of size 9 from this distribution. (c) , the mean of a random ...Post your question