Number of moving violations (X) An individual who has automobile insurance from a certain company is randomly selected. Let X be the number of moving violations for which the individual was cited during the last 3 years. The probability mass function of X is given below as; ● ● 0 0.2 1 0.2 2 0.2 3 0.2 4 What is the cumulative distribution function? The table should not have X < 0, or X <5. X < 1 should be 0.4, X < = 4 should be 1 • Calculate the probability that individual has at least two violations. • Calculate the expected value and variance of number of violations. Suppose an individual with X violations incurs a surcharge of $30X+$50. Calculate the expected amount of the surcharge, and the variance. 0.2
Number of moving violations (X) An individual who has automobile insurance from a certain company is randomly selected. Let X be the number of moving violations for which the individual was cited during the last 3 years. The probability mass function of X is given below as; ● ● 0 0.2 1 0.2 2 0.2 3 0.2 4 What is the cumulative distribution function? The table should not have X < 0, or X <5. X < 1 should be 0.4, X < = 4 should be 1 • Calculate the probability that individual has at least two violations. • Calculate the expected value and variance of number of violations. Suppose an individual with X violations incurs a surcharge of $30X+$50. Calculate the expected amount of the surcharge, and the variance. 0.2
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...
Related questions
Question
Transcribed Image Text:Number of moving
violations (X)
●
An individual who has automobile insurance from a certain company is randomly selected. Let X be the
number of moving violations for which the individual was cited during the last 3 years. The probability mass function
of X is given below as;
●
0
0.2
1
0.2
What is the cumulative distribution function?
2
0.2
3
0.2
4
0.2
The table should not have X < 0, or X <5. X < 1 should be 0.4, X < = 4 should be 1
. Calculate the probability that individual has at least two violations.
. Calculate the expected value and variance of number of violations.
Suppose an individual with X violations incurs a surcharge of $30X+$50. Calculate the expected amount of the
surcharge, and the variance.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Step 1: Write the given information.
VIEWStep 2: Determine the cumulative distribution function.
VIEWStep 3: Determine the probability that individual has at least two violations.
VIEWStep 4: Determine the expected value and variance of number of violations.
VIEWStep 5: Determine the expected amount of the surcharge and the variance.
VIEWSolution
VIEW
Trending now
This is a popular solution!
Step by step
Solved in 6 steps with 6 images
Recommended textbooks for you
A First Course in Probability (10th Edition)
Probability
ISBN:
9780134753119
Author:
Sheldon Ross
Publisher:
PEARSON
A First Course in Probability (10th Edition)
Probability
ISBN:
9780134753119
Author:
Sheldon Ross
Publisher:
PEARSON