Suppose that the expected number of deaths in a city is 8 per hour. What is the probability that in next 20 minutes, there would be 3 or more death?
Compound Probability
Compound probability can be defined as the probability of the two events which are independent. It can be defined as the multiplication of the probability of two events that are not dependent.
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Probability theory is a branch of mathematics that deals with the subject of probability. Although there are many different concepts of probability, probability theory expresses the definition mathematically through a series of axioms. Usually, these axioms express probability in terms of a probability space, which assigns a measure with values ranging from 0 to 1 to a set of outcomes known as the sample space. An event is a subset of these outcomes that is described.
Conditional Probability
By definition, the term probability is expressed as a part of mathematics where the chance of an event that may either occur or not is evaluated and expressed in numerical terms. The range of the value within which probability can be expressed is between 0 and 1. The higher the chance of an event occurring, the closer is its value to be 1. If the probability of an event is 1, it means that the event will happen under all considered circumstances. Similarly, if the probability is exactly 0, then no matter the situation, the event will never occur.
a) Suppose that an insurance company classifies people into three classes: good risks, average risks, and bad risks due to hypertension. The company’s records indicate that the probabilities that good, average and bad risk persons will be involved in an accident over a 1-year span are respectively 0.05, 0.15 and 0.30. If 20 percent of the population is a good risk, 50 percent an average risk and 30 percent a bad risk, (i) what proportion of people have accidents in a fixed year?(ii) If the policyholder A had no accidents in 2019, what is the
(b) Suppose that the expected number of deaths in a city is 8 per hour. What is the probability that in next 20 minutes, there would be 3 or more death?
****Answer only part b
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