Upon examination of the claims records of 280 policy holders over a period of five years, an insurance company makes an empirical determination of the probability distribution of X number of claims in five years x f(x) 0 315 1 289 2 201 3 114 4 063 5 012 6 006 (a) Calculate the expected value of X ...

a b The expectation and standard deviation of X are calculated ...

Upon examination of the claims records of 280 policy holders over a period of five years, an

Question:

Upon examination of the claims records of 280 policy holders over a period of five years, an insurance company makes an empirical determination of the probability of X = number of claims in five years.
x f(x)
0.................................315
1.................................289
2.................................201
3.................................114
4.................................063
5.................................012
6.................................006
(a) Calculate the expected value of X.
(b) Calculate the standard deviation of X. Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...