An insurance company insures two type of cars, economy cars and luxury cars. The damage claim resulting from an accident involving an economy car has normal N(7,1) distribution, the claim from a luxury car accident has normal N(20,6) distribution. Suppose the company receives three claims from economy car accidents and one claim from a luxury car accident. Assuming that these four claims are mutually independent, what is the probability that the total claim amount from the three economy car accidents exceed the claim amount from the luxury car accident?

An insurance company insures two type of cars, economy cars and luxury cars. The damage claim resulting from an accident involving an economy car has normal N(7,1) distribution, the claim from a luxury car accident has normal N(20,6) distribution. Suppose the company receives three claims from economy car accidents and one claim from a luxury car accident. Assuming that these four claims are mutually independent, what is the probability that the total claim amount from the three economy car accidents exceed the claim amount from the luxury car accident?

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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