Question: The distribution function of a random variable X is given by for some positive constants a and k. (i) Find the value of the probabilities
The distribution function of a random variable X is given by
for some positive constants a and k.
(i) Find the value of the probabilities P(X = 0) and P(X = a).
(ii) For what value of k, we have P(X =
a) = 1∕4?
(iii) For a = 4, k = 2, obtain the value of t such that
(Distributions of this form occur frequently in insurance modeling [the scientific area where such models are studied and used is known as actuarial science], in particular in excess of loss reinsurance; see the footnote earlier in this section.)
0, t < 0, 0t a,
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