Statistics: Informed Decisions Using Data, Books a la Carte Edition plus NEW MyLab Statistics with Pearson eText-- Access Card Package (5th Edition)
5th Edition
ISBN: 9780134136783
Author: Michael Sullivan III
Publisher: PEARSON
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Chapter 2.2, Problem 20AYU
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Questions
An insurance company's cumulative incurred claims for the last 5 accident years are given
in the following table:
Development Year
Accident Year 0
2018
1 2 3 4
245 267 274 289 292
2019
255 276 288 294
2020
265 283 292
2021
263 278
2022
271
It can be assumed that claims are fully run off after 4 years. The premiums received for
each year are:
Accident Year Premium
2018
306
2019
312
2020
318
2021
326
2022
330
You do not need to make any allowance for inflation.
1. (a) Calculate the reserve at the end of 2022 using the basic chain ladder method.
(b) Calculate the reserve at the end of 2022 using the Bornhuetter-Ferguson method.
2. Comment on the differences in the reserves produced by the methods in Part 1.
Questions
An insurance company's cumulative incurred claims for the last 5 accident years are given
in the following table:
Development Year
Accident Year 0
2018
1 2 3 4
245 267 274 289 292
2019
255 276 288 294
2020
265 283 292
2021
263 278
2022
271
It can be assumed that claims are fully run off after 4 years. The premiums received for
each year are:
Accident Year Premium
2018
306
2019
312
2020
318
2021
326
2022
330
You do not need to make any allowance for inflation.
1. (a) Calculate the reserve at the end of 2022 using the basic chain ladder method.
(b) Calculate the reserve at the end of 2022 using the Bornhuetter-Ferguson method.
2. Comment on the differences in the reserves produced by the methods in Part 1.
From a sample of 26 graduate students, the mean number of months of work experience prior to entering an MBA program was 34.67. The national standard deviation is known to be18 months. What is a 90% confidence interval for the population mean?
Question content area bottom
Part 1
A
9090%
confidence interval for the population mean is
left bracket nothing comma nothing right bracketenter your response here,enter your response here.
(Use ascending order. Round to two decimal places as needed.)
Chapter 2 Solutions
Statistics: Informed Decisions Using Data, Books a la Carte Edition plus NEW MyLab Statistics with Pearson eText-- Access Card Package (5th Edition)
Ch. 2.1 - 1. Define raw data in your own words.
Ch. 2.1 - 2. A frequency distribution lists the _____ of...Ch. 2.1 - 3. In a relative frequency distribution, what...Ch. 2.1 - Prob. 4AYUCh. 2.1 - 5. Flu Season The pie chart shown, the type we see...Ch. 2.1 - 6. Cosmetic Surgery This USA Today–type chart...Ch. 2.1 - 7. Most Valuable Player The following Pareto chart...Ch. 2.1 - 8. Poverty The U.S. Census Bureau uses money...Ch. 2.1 - 9. Divorce The following graph represents the...Ch. 2.1 - Prob. 10AYU
Ch. 2.1 - 11. Made in America A random sample of 2163 adults...Ch. 2.1 - Prob. 12AYUCh. 2.1 - 13. College Survey In a national survey conducted...Ch. 2.1 - 14. College Survey In a national survey conducted...Ch. 2.1 - Prob. 15AYUCh. 2.1 - Prob. 16AYUCh. 2.1 - 17. Texting A survey of U.S. adults and teens...Ch. 2.1 - 18. Educational Attainment The educational...Ch. 2.1 - Prob. 19AYUCh. 2.1 - Prob. 20AYUCh. 2.1 - Prob. 21AYUCh. 2.1 - Prob. 22AYUCh. 2.1 - Prob. 23AYUCh. 2.1 - 24. Blood Type A phlebotomist draws the blood of a...Ch. 2.1 - Prob. 25AYUCh. 2.1 - Prob. 26AYUCh. 2.1 - 27. StatCrunch Survey Choose a qualitative...Ch. 2.1 - Prob. 28AYUCh. 2.1 - 29. Putting It Together: Online Homework Keeping...Ch. 2.1 - 30. When should relative frequencies be used when...Ch. 2.1 - Prob. 31AYUCh. 2.1 - Prob. 32AYUCh. 2.1 - Prob. 33AYUCh. 2.2 - 1. The categories by which data are grouped are...Ch. 2.2 - Prob. 2AYUCh. 2.2 - 3. The ______ is the difference between...Ch. 2.2 - Prob. 4AYUCh. 2.2 - 5. True or False: There is not one particular...Ch. 2.2 - 6. True or False: Stem-and-leaf plots are...Ch. 2.2 - 7. True or False: The shape of the distribution...Ch. 2.2 - Prob. 8AYUCh. 2.2 - Prob. 9AYUCh. 2.2 - 10. Car Sales A car salesman records the number of...Ch. 2.2 - 11. IQ Scores The following frequency histogram...Ch. 2.2 - Prob. 12AYUCh. 2.2 - Prob. 13AYUCh. 2.2 - In Problems 13 and 14, for each variable...Ch. 2.2 - 15. Predicting School Enrollment To predict future...Ch. 2.2 - Prob. 16AYUCh. 2.2 - Prob. 17AYUCh. 2.2 - Prob. 18AYUCh. 2.2 - Prob. 19AYUCh. 2.2 - Prob. 20AYUCh. 2.2 - Prob. 21AYUCh. 2.2 - Prob. 22AYUCh. 2.2 - Prob. 23AYUCh. 2.2 - Prob. 24AYUCh. 2.2 - 25. Televisions in the Household A researcher with...Ch. 2.2 - 26. Waiting The data below represent the number of...Ch. 2.2 - 27. Gini Index The Gini Index is a measure of how...Ch. 2.2 - 28. Average Income The following data represent...Ch. 2.2 - 29. Cigarette Tax Rates The table shows the tax,...Ch. 2.2 - 30. Dividend Yield A dividend is a payment from a...Ch. 2.2 - Prob. 31AYUCh. 2.2 - Prob. 32AYUCh. 2.2 - Prob. 33AYUCh. 2.2 - Prob. 34AYUCh. 2.2 - Prob. 35AYUCh. 2.2 - Prob. 36AYUCh. 2.2 - Prob. 37AYUCh. 2.2 - Prob. 38AYUCh. 2.2 - Prob. 39AYUCh. 2.2 - Prob. 40AYUCh. 2.2 - Prob. 41AYUCh. 2.2 - Prob. 42AYUCh. 2.2 - Prob. 43AYUCh. 2.2 - Prob. 44AYUCh. 2.2 - Prob. 45AYUCh. 2.2 - 46. Waiting Draw a dot plot of the waiting data...Ch. 2.2 - 47. Putting It Together: Time Viewing a Web Page...Ch. 2.2 - Prob. 48AYUCh. 2.2 - Prob. 49AYUCh. 2.2 - Prob. 50AYUCh. 2.2 - Prob. 51AYUCh. 2.2 - 52. Describe the situations in which it is...Ch. 2.2 - Prob. 53AYUCh. 2.2 - Prob. 54AYUCh. 2.3 - 1. What is an ogive?
Ch. 2.3 - Prob. 2AYUCh. 2.3 - Prob. 3AYUCh. 2.3 - Prob. 4AYUCh. 2.3 - Prob. 5AYUCh. 2.3 - Prob. 6AYUCh. 2.3 - 7. Graduation Rates The following relative...Ch. 2.3 - Prob. 8AYUCh. 2.3 - 9. Misery Index The following time-series plot...Ch. 2.3 - Prob. 10AYUCh. 2.3 - Prob. 11AYUCh. 2.3 - In Problems 13–16, use the frequency distributions...Ch. 2.3 - Prob. 13AYUCh. 2.3 - Prob. 14AYUCh. 2.3 - Prob. 15AYUCh. 2.3 - Prob. 16AYUCh. 2.3 - Prob. 17AYUCh. 2.3 - Prob. 18AYUCh. 2.3 - 19. Putting It Together: Rates of Return of Stocks...Ch. 2.3 - Prob. 20AYUCh. 2.3 - Prob. 21AYUCh. 2.3 - Prob. 22AYUCh. 2.3 - Prob. 23AYUCh. 2.4 - 1. Inauguration Cost The following is a USA...Ch. 2.4 - 2. Burning Calories The following is a USA...Ch. 2.4 - Prob. 3AYUCh. 2.4 - Prob. 4AYUCh. 2.4 - Prob. 5AYUCh. 2.4 - Prob. 6AYUCh. 2.4 - Prob. 7AYUCh. 2.4 - 8. You Explain It! Oil Reserves The U.S. Strategic...Ch. 2.4 - Prob. 9AYUCh. 2.4 - Prob. 10AYUCh. 2.4 - Prob. 11AYUCh. 2.4 - Prob. 12AYUCh. 2.4 - Prob. 13AYUCh. 2.4 - Prob. 14AYUCh. 2.4 - Prob. 15AYUCh. 2.4 - Prob. 16AYUCh. 2 - Prob. 1RECh. 2 - Prob. 2RECh. 2 - Prob. 3RECh. 2 - 4. Political Affiliation One hundred randomly...Ch. 2 - 5. Family Size A random sample of 60 couples...Ch. 2 - Prob. 6RECh. 2 - Prob. 7RECh. 2 - Prob. 8RECh. 2 - Prob. 9RECh. 2 - Prob. 10RECh. 2 - Prob. 11RECh. 2 - Prob. 12RECh. 2 - Prob. 1CTCh. 2 - Prob. 2CTCh. 2 - Prob. 3CTCh. 2 - 4. The following data represent the number of cars...Ch. 2 - Prob. 5CTCh. 2 - Prob. 6CTCh. 2 - 7. The following data represent the time (in...Ch. 2 - Prob. 8CTCh. 2 - Prob. 9CTCh. 2 - Prob. 1CSCh. 2 - Prob. 2CSCh. 2 - Prob. 3CSCh. 2 - Prob. 4CSCh. 2 - Prob. 5CSCh. 2 - Prob. 6CS
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