Exam MAS-I Practice Question 39

Study guide: Exam MAS-I

A policy's ground-up loss X is exponentially distributed with mean 1,000, and the policy has an ordinary deductible of 250.

Which of the following random variables is neither discrete nor continuous?

• A) The payment per loss, (X - 250)_+
• B) The number of losses the policy has in a year
• C) The ground-up loss X
• D) The payment per payment, X - 250 given X > 250
• E) The average of five independent ground-up losses

Answer this question and see the worked solution

Concepts tested

• Random Variable
• Discrete Random Variable
• Continuous Random Variable
• Payment Random Variable
• Deductible

More questions from this set

• Exam MAS-I Practice Question 38
• Exam MAS-I Practice Question 40