Question

6. (10 pts) In any year, the weather can inflict storm damage to a home. From year to year, the damage is random. Let Y denote the dollar value of damage in any given year. Suppose that in 95% of the years Y-30 (no damage), but in 5% of the years Y-$20,000. a. What is the mean and standard deviation of the damage in any year?

What is the and standard deviation of the damage in any year? a. b. Consider an insurance pool of 100 people whose homes are sufficiently dispersed so that, in any year, the damage to different homes can be viewed as independently distributed random variables. Let Y denote the average damage to these 100 homes in a year. (i) What is the expected value of the average damage Y? (ii) What is the probability that Y exceeds $2000? mean

0 0
Add a comment Improve this question Transcribed image text
Know the answer?
Add Answer to:
6. (10 pts) In any year, the weather can inflict storm damage to a home. From...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • In any year, the weather can inflict storm damage to a home. From year to year,...

    In any year, the weather can inflict storm damage to a home. From year to year, the damage is random. Let Y denote the dollar value of damage in any given year. Suppose that in 95% of the years Y = $0, but in 5% of the years Y = $19,792. The mean of the damage in any year is $ 989.6. (Round your response to two decimal places.) The standard deviation of the damage in any year is $...

  • Problem 1: In any year, the weather can inflict storm damage to a home. I'rom year...

    Problem 1: In any year, the weather can inflict storm damage to a home. I'rom year to year, the damage is random. Suppose that in 95% of the years the damage is $0, but in 5% of the years the damage is $20,000. Write down the probability distribution of the damage. (15 points) What is the mean of the damage in any year? (15 points)

  • 9. (Normal distribution.) Birth weight of babies delivered at term can be mode a normal distribution...

    9. (Normal distribution.) Birth weight of babies delivered at term can be mode a normal distribution with mean p = 200 ounces, and standard deviation o = 20 our Using this model, find: a. The percent of bables delivered at term that weigh between 200 ounces and 216 Ounces b. The percent of bables delivered at term that weigh more than 216 ounces. 10. (Coin Tossing. You shake up 100 pennies in a jar and empty them on a table....

  • Can someone help from e-j please thanks. The mean weight of a face pumpkin (used for...

    Can someone help from e-j please thanks. The mean weight of a face pumpkin (used for carving) being sold at Manning Farm is 15 pounds with a standard deviation of 3 pounds. The mean weight of a face pumpkin (used for carving) being sold at Irving Farm is 17 pounds with a standard deviation of 4 pounds. It is known that pumpkin weights are normally distributed. Dylan must buy some pumpkins for the school Pumpkin Fair. Suppose he randomly selects...

  • Question 2E Page >of 3 What Is the probability that the Aurora Borealis can be seen...

    Question 2E Page >of 3 What Is the probability that the Aurora Borealis can be seen every day of this week a (b) What is the probability that the Aurora Borealis can be seen at least one day in this week? (c) What is the probability that the Aurora Borealis can be seen less than two days this week? (d) Find the mean, variance, and standard deviation for the number of days that the Aurora Borealis can be seen during...

  • 07 sampling for review-SET 1 FOR POSTING 3 . 12 QUESTION 1 - TESTING WEATHER STATIONS...

    07 sampling for review-SET 1 FOR POSTING 3 . 12 QUESTION 1 - TESTING WEATHER STATIONS FOR MARS A company has signed a contract to develop a "weather station" for use on Mars. It will continually measure temperature and wind speed. It must work in extreme cold and in the presence of fine dust, for one Martian year. The company wants to test its design, by building several prototypes, and subjecting the prototypes in a lab to conditions similar to...

  • 1) If 20% of the residents in a U.S. city prefer a white telephone over any...

    1) If 20% of the residents in a U.S. city prefer a white telephone over any other color available, what is the probability that among the next 1000 telephones installed in that city (a) between 170 and 185 inclusive will be white? (b) at least 210 but not more than 225 will be white? 2) The serum cholesterol level X in 14-year-old boys has approximately a normal distribution with mean 170 and standard deviation 30. (a) Find the probability that...

  • Let x represent the dollar amount spent on supermarket impulse buying in a 10-minute (unplanned) shopping...

    Let x represent the dollar amount spent on supermarket impulse buying in a 10-minute (unplanned) shopping interval. Based on a certain article, the mean of the x distribution is about $14 and the estimated standard deviation is about $9. (a) Consider a random sample of n = 40 customers, each of whom has 10 minutes of unplanned shopping time in a supermarket. From the central limit theorem, what can you say about the probability distribution of the average amount spent...

  • - 07 sampling 's for review-SET 1 FOR POSTING.pdf 0 3 . 12 QUESTION 1 -...

    - 07 sampling 's for review-SET 1 FOR POSTING.pdf 0 3 . 12 QUESTION 1 - TESTING WEATHER STATIONS FOR MARS A company has signed a contract to develop a "weather station” for use on Mars. It will continually measure temperature and wind speed. It must work in extreme cold and in the presence of fine dust, for one Martian year. The company wants to test its design, by building several prototypes, and subjecting the prototypes in a lab to...

  • Let x represent the dollar amount spent on supermarket impulse buying in a 10-minute (unplanned) ...

    Let x represent the dollar amount spent on supermarket impulse buying in a 10-minute (unplanned) shopping interval. Based on a certain article, the mean of the x distribution is about $42 and the estimated standard deviation is about $9. (a) Consider a random sample of n = 100 customers, each of whom has 10 minutes of unplanned shopping time in a supermarket. From the central limit theorem, what can you say about the probability distribution of x, the average amount...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT