Exam MAS-I Practice Question 123
Study guide: Exam MAS-I
A linear regression of log claim severity is fitted to 19 claims. To check normality, the analyst draws a normal QQ plot of the 19 standardized residuals: the ordered residuals go on the vertical axis, and the i-th smallest is plotted against the standard normal quantile \Phi^{-1}(p_i) with plotting position
p_i = \frac{i}{n+1}Calculate the horizontal coordinate at which the third smallest residual is plotted. Give your answer to two decimal places, with a minus sign if negative (e.g. -0.25).
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