Question: A loss distribution is uniformly distributed on the interval from 20 to 120. Two insurance policies are being considered to cover part of the loss.

A loss distribution is uniformly distributed on the interval from 20 to 120. Two insurance policies are being considered to cover part of the loss. Insurance policy A insures 70% of the loss. Insurance policy B covers the loss up to a maximum insurance payment of 70, with deductible of 30. (a) What is the mean and standard deviation of insurer payment under policy A? (b) What is the mean and standard deviation of insurer payment under policy B

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