CAS Exam MAS-I Spring 2018, Question 5
Study guide: Exam MAS-I
You are given:
- Computer lifetimes are independent and exponentially distributed with a mean of 24 months.
- Computer I has been functioning properly for 36 months.
- Computer II is a brand new and functioning computer.
Calculate the absolute difference between Computer I's failure rate and Computer II's failure rate.
- A) Less than 0.01
- B) At least 0.01, but less than 0.02
- C) At least 0.02, but less than 0.03
- D) At least 0.03, but less than 0.04
- E) At least 0.04
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