CAS Exam MAS-I Spring 2019, Question 20
Study guide: Exam MAS-I
A sample of losses has the following observations:
\{400, 600, 900, 1100, 1200\}A rectangular kernel with bandwidth 300 is used to estimate the probability density function (pdf) of the losses at x = 800. The resulting estimate is \tilde{f}_R(800).
A triangular kernel with bandwidth 300 is used to estimate the pdf of the losses at x = 800. The resulting estimate is \tilde{f}_T(800).
The absolute difference in the estimates is denoted z, where z = \left|\tilde{f}_R(800) - \tilde{f}_T(800)\right|.
Calculate z.
- A) Less than 0.0001
- B) At least 0.0001, but less than 0.0002
- C) At least 0.0002, but less than 0.0003
- D) At least 0.0003, but less than 0.0004
- E) At least 0.0004
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