Probability. Only question b. Consider three types of claims: A, B and C. Let XẠ denote the randomvariable for the size of a randomly chosen claim of type A, and let XBand Xc denote the corresponding random variables for claims of typesB and C, respectively.Assume that XA, XB and Xc are exponentially distributed with parame-ters XA = 0.002, AB = 0.001 and Xc = 0.005, respectively.An insurance company has a portfolio of policies with 10% of claims oftype A, 20% of type B, and the remaining claims of type C.Let X denote the random variable for the size of a claim chosen at ran-dom from all those on policies in the portfolio.100) the probahility thata lanaomiy thoeerolaim(a)Caloulat AiS greater than 100(b) Calculate E[X|Type] for types A, B and C.

b. From the given information, XA~ExpλA=0.002XB~ExpλB=0.001XC~ExpλC=0.005 An insurance company has a…

Consider three types of claims: A, B and C. Let XẠ denote the ran variable for the size of a randomly chosen claim of type A, and let and Xc denote the corresponding random variables for claims of ty B and C, respectively. Assume that XA, XB and Xc are exponentially distributed with para 0.00

Consider three types of claims: A, B and C. Let XẠ denote the ran variable for the size of a randomly chosen claim of type A, and let and Xc denote the corresponding random variables for claims of ty B and C, respectively. Assume that XA, XB and Xc are exponentially distributed with para 0.00

Algebra and Trigonometry (MindTap Course List)

4th Edition

ISBN:9781305071742

Author:James Stewart, Lothar Redlin, Saleem Watson

Publisher:James Stewart, Lothar Redlin, Saleem Watson

Chapter14: Counting And Probability

Section14.2: Probability

Problem 3E: The conditional probability of E given that F occurs is P(EF)=___________. So in rolling a die the...

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Question

Probability. Only question b.

Consider three types of claims: A, B and C. Let XẠ denote the random
variable for the size of a randomly chosen claim of type A, and let XB
and Xc denote the corresponding random variables for claims of types
B and C, respectively.
Assume that XA, XB and Xc are exponentially distributed with parame-
ters XA = 0.002, AB = 0.001 and Xc = 0.005, respectively.
An insurance company has a portfolio of policies with 10% of claims of
type A, 20% of type B, and the remaining claims of type C.
Let X denote the random variable for the size of a claim chosen at ran-
dom from all those on policies in the portfolio.
100) the probahility thata lanaomiy thoeerolaim
(a)Caloulat A
iS greater than 100
(b) Calculate E[X|Type] for types A, B and C.

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