In the following situation, what sort ofprobability distribution would theconsulting business most likely use toassess the insurance claims?A consulting business has been hired byan insurance company to see if thecompany has an exceptionally highnumber of fraudulent insurance claims.The percentage of fraudulent claims in thebusiness is believed to be 3%. Theconsulting firm has chosen to sample 100of the company's insurance claims atrandom and independently. They believethat the number of these 100 that are fakewill provide the firm with the informationit seeks.A) Binomial distributionB) Poisson distributionC) All of the aboveD) None of the abovea. CO b. DC. Ad. B

here given A consulting business has been hired by an insurance company to see if the company has…

Answered: In the following situation, what sort…

In the following situation, what sort of probability distribution would the consulting business most likely use to assess the insurance claims?

Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018

18th Edition

ISBN:9780079039897

Author:Carter

Publisher:Carter

Chapter10: Statistics

Section10.6: Summarizing Categorical Data

Problem 30PPS

See similar textbooks

Related questions

Q: The population of Boomtown is currently 2000 and expected to grow by 2.7% over the next year. What…

A: Given that ; For Boomtown Current population (P) = 2000 Growth rate = 2.7% For Dullsville…

Q: A car hire firm has cars which it hires out day by day. The number of demands for a car on each day…

A: Given that: The number of demands for a car on each day is distributed as a Poisson fashion with…

Q: they

A: Euler Path is the one which crosses every side(edge) exactly once.

Q: Let A and B be independent events. Denote by the events Ac and Bc are complements of the events A…

A: Answer: (a):

Q: Compute the following probabilities: (a) Pr(X= $3 Y = t₁) (b) Pr(X= $2) (c) Pr(Y= t1)

A: HERE AS PER GUIDELINES I HAVE CALCULATED 3 SUBPARTS here given join distribution of variable t…

Q: 8. This exercise refers to the drunk driving panel data regression summarized below. Regression…

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: Make a probability distribution for the given set of events. The sums that appear when two fair…

Q: What is the Inclusion-Exclusion Formula with three Events A, B and C. 1. P(ABC) = P(A) + P(B) +…

Q: What is the range of all integers greater than 40 and less than 99 that are multiples of 3

A: To find : The range of all integers greater than 40 and less than 99 that are multiples of 3

Q: Two discrete random variables X and Y have the joint probability density function: f(x.y)=e*p"…

A: Given: Two discrete random variables is X and Y fx,y=λx e-λ py1-px-yy! x-y!…

Q: 49 A B C D E F A -- B 9 с DE F 38 16 19 37 22 13 44 15 5 24 28 33 7 43 -- 9 38 22 16 13 5 19 44 24…

Q: d Jerry are playing a game called ‘Race to 25’. In this game, the first player will say a whole…

A: Race of 25 can be taken as a race of 25 horses. The fastest among three is to be find out in it game…

Q: Researchers at a reputable university and a reputable health organization claim that approximately…

A: Given that,p=74% =0.741-p=1- 0.74 = 0.26n = 85

Q: ered 1-15, what is the probability that person 1 choosses a number strictly greater than the number…

A: As the numbers are from 1 to 15: and 4 groups contain the same numbers: Group 1 Group 2 Group 3…

Q: A random sample of size 81 is taken from a normal population having a mean of 80 and a standard…

A: Given n1=81 n2=49 Mean 1=80 Mean 2=70 Standard deviations 1=6 Standard deviations 2= 5

Q: Kilie is an avid collector of action figures based on superhero movies. She has been tracking the…

A: To determine: The absolute and releative change in the item's value from 2016 to 2022 based on the…

Q: A sleeping bag is on sale for $16.78 and has been discounted 40%. What was the original the sleeping…

A: Let the original price of bag is $x Discount =40% of original price =40% * x =0.40x

Q: 5 ppl sample Mean 22.2 A deviation 5.8 Confidence 90%

A: Given data, n=5 Mean x=22.2 sd s=5/8 Construct a 90% CI?

Q: The undergraduate grade point averages (UGPA) of students taking an admissions test in a recent year…

A: The mean is 3.26 and the standard deviation is 0.15.

Q: A result is significant at the 0.01 level. Explain why it must also be significant at the 0.05…

A: Note: Hi, thank you for the question. As per our company guideline we are supposed to answer only…

Q: Given that a box has 4 blue marbles, 3 red marbles, and 5 yellow marbles, use the probability…

A: Given that A box has 4 blue marbles, 3 red marbles, and 5 yellow marbles

Q: At a certain gas station, 65% of the customers use regular gas, and all the other customers use…

A: Given Information: 65% of the customers use regular gas. Of those only 30% fill their tank.…

Q: Determine the probability of your winning if the first two cards dealt are a 6 and a king.

A: HERE GIVEN , There are total 52 cards in standard deck here 2 cards are selected without…

Q: Let X and X, independence r.v. have same moment generating function (-) where tsa, let Y=aX+bX, ,…

Q: B: A card is drawn from a well shuffled pack of 52 cards. Find the probability of: (i) '2' of…

A: GivenTotal no.of cards = 52

Q: and alem consists of amounts from city # 2. OA. Ho: H₁ H₂ Hy: Hy > H₂ OC. Ho: 1₁ = ₂ H₁: Hy H₂…

A: From the above data Option A is correct

Q: A manufacturing company uses an acceptance scheme on items from a production line before they are…

Q: a) Show that the following function is a valid probability mass function of the random variable X.…

A: For each probability mass function, There are two conditions to satisfy 1 : f(x) >=0 for all S…

Q: Find the probability that a lot of 100 items, of which five are defective, will be accepted in a…

A: Given that Total number of items (N)=100 In which 5 are defective the number of defective items…

Q: 8 16 9 14 10 8 11 2 Total 500 What is the mean of the probability distribution of the number of of…

A: It is given that the number of cars sold per day at ABC motor corporation during the past 500…

Q: let the pdf f(x) is even function then E(x) is ?

A: Answer:

Q: You are given 5 to 1 odds against tossing three tails with three coins, meaning you win $5 if you…

A: Given data you are given 5 to 1 odds against tossing three tails with three coins you win $5 if you…

Q: A system of random variables (X, Y) is normally distri- buted with the probability density 1 f(x, y)…

Q: Find the probability for each of the following situations: 1. You get exactly 1 head when flipping…

A: Dear student according to the guidelines we solve only first question when different statement based…

Q: Assume that a procedure yields a binomial distribution with n=3 trials and a probability of success…

A: The answer is attached below,

Q: A pair of shoes is on sale for $29. If the sales tax rate is 7.9%, what is the amount of sales tax?…

A: According to the given information in this question We need to find the amount of sales tax and…

Q: Time spent on a computer is gamma distributed with a = 4 and B = 7. I. What is the probability that…

A: Given that: The time spent on a computer is gamma distributed with α=4 and β=7

Q: Your friend grabs a die at random from a drawer containing two 4-sided dice, one 8-sided die, and…

Q: Problem 2. To fulfill the requirements for a certain degree, a student can choose to take any 7 out…

A: There are 20 courses in total. One has to choose 7 out of 20 courses such that at least one of them…

Q: Three members of a jury will be randomly selected from five people. How many different combinations…

Q: College students were asked, "How often do you wear a seat belt when riding in a car driven by…

A: Given data: Response Frequency Never 106 Rarely 332 Sometimes 592 Most of the time 1215…

Q: A B A B C 3 20 15 CDE 1 3 20 57 33 F 38 5378 15 13 27 -- 56 D 57 13 56 -- E F 33 38 27 58 6 37 52 44…

A: Given The weights of edges in a graph is shown in the table.we need to apply the nearest neighbour…

Q: Q3 :A: An urn contain three red balls ,two blue ball and five white balls, A ball is selected and…

A: Given: n(Red) = 3 n(Blue) = 2 n(white) = 5 Total balls = 3+2+5 = 10 A ball is selected and its color…

Q: (a) Find the value of A such that the following function is a joint density of two random variables:…

A: Note: In case of multiple questions, according to the guidelines the answer will be provided for the…

Q: Use the given statement to represent a claim. Write its complement and state which is Ho and which…

A: From the provided information, The statement of the hypothesis is as follow: p < 0.44

Q: 1. Let X denote the number of times a certain numerical control machine will malfunction: 1, 2, or 3…

A: f(x,y) y=1 y=2 y=3 Total x=1 0.10 0.05 0.02 0.17 x=2 0.10 0.35 0.05 0.5 x=3 0.03 0.10…

Q: According to a Sallie Mae survey and credit bureau data, in 2008, college students carried an…

Q: In a class of 18 students there are 11 math majors and 7 computer science majors. Four students…

A: The provided information is Total students are =18 Math students is =11 Computer science=7 The…

Q: Af the probability of an event is 0.5, then the probability of the complement event will be 0.5.…

A: Answer :- If the probability of an event is 0.5, then the probability of the complement event will…

Q: bability is

A: Given Mean=6 minutes

Question

In the following situation, what sort of
probability distribution would the
consulting business most likely use to
assess the insurance claims?
A consulting business has been hired by
an insurance company to see if the
company has an exceptionally high
number of fraudulent insurance claims.
The percentage of fraudulent claims in the
business is believed to be 3%. The
consulting firm has chosen to sample 100
of the company's insurance claims at
random and independently. They believe
that the number of these 100 that are fake
will provide the firm with the information
it seeks.
A) Binomial distribution
B) Poisson distribution
C) All of the above
D) None of the above
a. C
O b. D
C. A
d. B

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here