An insurance company has 10,000 automobile policyholders. The expected yearly claim per policyholder is $240, with a standard deviation of $800. Approximate the probability that the total yearly claim exceeds $2.7 million.
Answer to relevant QuestionsA dance class consists of 22 students, of which 10 are women and 12 are men. If 5 men and 5 women are to be chosen and then paired off, how many results are possible? A.J. has 20 jobs that she must do in sequence, with the times required to do each of these jobs being independent random variables with mean 50 minutes and standard deviation 10 minutes. M.J. has 20 jobs that he must do in ...Let X1, . . . ,X20 be independent Poisson random variables with mean 1. (a) Use the Markov inequality to obtain a bound on (b) Use the central limit theorem to approximate Compute the measurement signal-to-noise ratio—that is, |μ|/σ, where μ = E[X] and σ2 = Var(X)—of the following random variables: (a) Poisson with mean λ; (b) Binomial with parameters n and p; (c) Geometric with mean ...In Example 2c we simulated the absolute value of a unit normal by using the rejection procedure on exponential random variables with rate 1. This raises the question of whether we could obtain a more efficient algorithm by ...
Post your question