Recall that a ratio (x) of the rates of return on the investment for P FRAME TIMESTAME two consecutive years was shown to have a normal distribution, CAMENG METHAN Pa da p with = 1.5 and σ = .2. Consider a random sample of 100 SEMENTARE variable life insurance policies and let represent the mean ratio for the sample. a. Find E() and interpret its value. b. Find Var(x). c. Describe the shape of the sampling distribution of .
Recall that a ratio (x) of the rates of return on the investment for P FRAME TIMESTAME two consecutive years was shown to have a normal distribution, CAMENG METHAN Pa da p with = 1.5 and σ = .2. Consider a random sample of 100 SEMENTARE variable life insurance policies and let represent the mean ratio for the sample. a. Find E() and interpret its value. b. Find Var(x). c. Describe the shape of the sampling distribution of .
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
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Transcribed Image Text:5.28 Variable life insurance return rates. Refer to the
THEMENTE
International Journal of Statistical Distributions (Vol. 1, 2015)
P
study of a variable life insurance policy, Exercise 4.97 (p. 239).
SE HANDE
Recall that a ratio (x) of the rates of return on the investment for
C
SE
two consecutive years was shown to have a normal distribution,
D
PENZI NIMEREN MERC
with = 1.5 and o= .2. Consider a random sample of 100
P
WWW
FESTE!
variable life insurance policies and let represent the mean
COME
ratio for the sample.
a. Find E(T) and interpret its value.
b. Find Var(z).
c. Describe the shape of the sampling distribution of .
d. Find the z-score for the value = 1.52.
e. Find P(x > 1.52).
f. Would your answers to parts a-e change if the rates (x)
of return on the investment for two consecutive years
was not normally distributed? Explain.
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