Question: Based on the information in PA station , Amazon has constructed the following table related to the dollar amount of losses for 100 reported accidents
- Based on the information in PA station, Amazon has constructed the following table related to the dollar amount of losses for 100 reported accidents.
| $ amount of losses | # of accidents having this $ amount of losses |
| $500 | 65 |
| $1,200 | 30 |
| $4,200 | 5 |
- Derive the probability distribution of the dollar amount of losses based on this data. Be careful to label exactly what you are defining as the probability distribution. [2 points]
- Calculate the expected value of severity per truck in PA station. [1 point]
- Calculate the expected loss per truck in PA station. [2 points]
- Calculate the expected loss for ALL trucks in PA station. [1 point]
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