For a general insurance policy, the size of each loss, X, follows a Weibull distribution with parameters and 0 = 100. The value of T is 0.25 (high risk), 0.5 (medium risk) or 1 (low risk) with equal probabilities. Calculate the standard deviation of X.
For a general insurance policy, the size of each loss, X, follows a Weibull distribution with parameters and 0 = 100. The value of T is 0.25 (high risk), 0.5 (medium risk) or 1 (low risk) with equal probabilities. Calculate the standard deviation of X.
Related questions
Question
None
Transcribed Image Text:Question
For a general insurance policy, the size of each loss, X, follows a Weibull distribution with parameters T and
0 = 100.
The value of 7 is 0.25 (high risk), 0.5 (medium risk) or 1 (low risk) with equal probabilities.
Calculate the standard deviation of X.
Possible Answers
A
7600
B
8600
C
9600
D
10600
E
11600
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps
