An automobile insurer has found that repair claims are Normally distributed with a mean of $620 and a standard deviation of $570. (a) Find the probability that a single claim, chosen at random, will be less than $590. ANSWER: (b) Now suppose that the next 70 claims can be regarded as a random sample from the long-run claims process. Find the probability that the average x¯x¯ of the 70 claims is smaller than $590. ANSWER: (c) If a sample larger than 70 claims is considered, there would be chance of getting a sample with an average smaller then $590. (NOTE: Enter ''LESS'', ''MORE'' or ''AN EQUAL'' without the quotes.)

An automobile insurer has found that repair claims are Normally distributed with a mean of $620 and a standard deviation of $570. (a) Find the probability that a single claim, chosen at random, will be less than $590. ANSWER: (b) Now suppose that the next 70 claims can be regarded as a random sample from the long-run claims process. Find the probability that the average x¯x¯ of the 70 claims is smaller than $590. ANSWER: (c) If a sample larger than 70 claims is considered, there would be chance of getting a sample with an average smaller then $590. (NOTE: Enter ''LESS'', ''MORE'' or ''AN EQUAL'' without the quotes.)

A First Course in Probability (10th Edition)

10th Edition

ISBN:9780134753119

Author:Sheldon Ross

Publisher:Sheldon Ross

Chapter1: Combinatorial Analysis

Section: Chapter Questions

Problem 1.1P: a. How many different 7-place license plates are possible if the first 2 places are for letters and...

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