In: Statistics and Probability
Ten policyholders file insurance claims. Three of these claims are fraudulent. Three of the ten claims are randomly selected for thorough investigation. If X represents the number of fraudulent claims in the sample, P(X = 0) is _______________.
a. 0.7083 b. 0.2917 c. 0.0083 d. 0.3622 e. 0.5
QUESTION 19 For #18, what is the mean (expected) number of fraudulent claims in the sample?
a. 0.3 b. 0 c. 1.5 d. 0.9 e. 3
a)
P(X = 0) = 3C0 * 7C3 / 10C3
= 0.2917
b)
E(X) = n(fraudulent) / total
= 3 / 10
= 0.3