Determine the expected value of insurance company


Solve the below problem:

Q: An insurance company sells an automobile policy with a deductible of one unit. Let X be the amount of the loss having p.m.f.

0.9 x=0

f(x) = { (C/x) x=1,2,3,4,5,6 (where C is a constant)}

Determine C and the expected value the insurance company must pay

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Basic Statistics: Determine the expected value of insurance company
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