Actuarial Notes

CAS Exam MAS-I Spring 2019, Question 4

Study guide: Exam MAS-I

You are given the following information:

  • Computer lifetimes are exponentially distributed with mean of 10 months.
  • Computer A has been functioning properly for 12 months.

Calculate the probability that Computer A will function properly for at least 4 more months.

  • A) Less than 0.64
  • B) At least 0.64, but less than 0.66
  • C) At least 0.66, but less than 0.68
  • D) At least 0.68, but less than 0.70
  • E) At least 0.70

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