CAS Exam MAS-II Fall 2019, Question 10
Study guide: Exam MAS-II
Your company conducts a test to determine which software program is more efficient for new claims adjustors to use.
- There are two software programs tested.
- Twenty claims adjustors participated in this study; each adjustor is given a software program to use at random.
- Each claims adjustor uses the same software program for all claims the adjustor processed for an entire week.
You build a Linear Mixed Model to estimate the amount of time it takes a claims adjustor to handle a particular claim. You use the following variables in the model:
- Claims adjustor ID
- Software program used
- Tenure of the claims adjustor
- Type of claim
Determine which of the model variables is a random factor.
- A) Claims adjustor ID
- B) Software program used
- C) Tenure of the claims adjustor
- D) Type of claim
- E) None of these variables are random factors
Answer this question and see the worked solution