Question

In: Statistics and Probability

16) For planning purposes, insurance companies must try to predict the number of hurricanes that will...

16) For planning purposes, insurance companies must try to predict the number of hurricanes that will hit the eastern coast of the United States in any given year. If this area is hit with an average of 6 hurricanes per year, find the probability that in a given year…

a) …fewer than 3 hurricanes will hit this area.

b) …between 6 and 8 hurricanes (inclusive) will hit this area.

c) What is the standard deviation of this distribution?

Solutions

Expert Solution

Solution:

The knowledge on events modelled by the Poisson distribution is needed as a prerequisite to understand the Solution to the given question. The Poisson distribution is discrete hence please keep it in mind while understanding the probability calculations. The solution is given below:

orchestra answered 2 years ago
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