The research department of an insurance company conducts ongoing research on the causes and cost of automobile accidents. In a random sample of 1000 policies, 40% were written on single persons and the remainder were written on married people. Among the policies written for single persons 120 showed that at least one claim was filed in the past three years and the average claim cost among these policies was $828 with standard deviation of $165. Review of the pôlicies written on married persons showed that 150 had at least one accident and average claim cost was $752 with a standard deviation of $138. In a recent report to the board of directors, the research department indicated that based on the analysis of the data it can be concluded that: There is no difference in the three years accident rate between single and married people. .. The average claim cost for married people is lower than the single persons and the company should consider premium differential or married people. Are the claims (conclusions) made by the research department in their report justified? Use 0.05 significance level. Enter "Y" in the response text box if the data supports the conclusion, enter "N" if the data does not support the conclusion, and enter "U" if there is not enough information available from the reported data to verify the conclusion. Claim: There is no difference in the three years accident rate between single and married people Your answer (Y/N/U) is: D. Management Claim: The average claim cost for married people is lower than the single persons. Your answer (Y/N/U) is:
The research department of an insurance company conducts ongoing research on the causes and cost of automobile accidents. In a random sample of 1000 policies, 40% were written on single persons and the remainder were written on married people. Among the policies written for single persons 120 showed that at least one claim was filed in the past three years and the average claim cost among these policies was $828 with standard deviation of $165. Review of the pôlicies written on married persons showed that 150 had at least one accident and average claim cost was $752 with a standard deviation of $138. In a recent report to the board of directors, the research department indicated that based on the analysis of the data it can be concluded that: There is no difference in the three years accident rate between single and married people. .. The average claim cost for married people is lower than the single persons and the company should consider premium differential or married people. Are the claims (conclusions) made by the research department in their report justified? Use 0.05 significance level. Enter "Y" in the response text box if the data supports the conclusion, enter "N" if the data does not support the conclusion, and enter "U" if there is not enough information available from the reported data to verify the conclusion. Claim: There is no difference in the three years accident rate between single and married people Your answer (Y/N/U) is: D. Management Claim: The average claim cost for married people is lower than the single persons. Your answer (Y/N/U) is:
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
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Transcribed Image Text:The research department of an insurance company conducts ongoing research on the causes and cost of automobile accidents. In a
random sample of 1000 policies, 40% were written on single persons and the remainder werę written on married people. Among the
policies written for single persons 120 showed that at least one claim was filed in the past three years and the average claim cost
among these policies was $828 with standard deviation of $165. Review of the pôlicies written on married persons showed that 150
had at least one accident and average claim cost was $752 with a standard deviation of $138. In a recent report to the board of
directors, the research department indicated that based on the analysis of the data it can be concluded that:
There is no difference in the three years accident rate between single and married people.
The average claim cost for married people is lower than the single persons and the company should consider premium differential
or married people.
Are the claims (conclusions) made by the research department in their report justified? Use 0.05 significance level.
Enter "Y" in the response text box if the data supports the conclusion, enter "N" if the data does not support the conclusion, and enter "U" if
there is not enough information available from the reported data to verify the conclusion.
Claim: There is no difference in the three years accident rate between single and married people
Your answer (Y/N/U) is:
D. Management Claim: The average claim cost for married people is lower than the single persons.
Your answer (Y/N/U) is:
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