SOA Exam P Sample Question 9
Study guide: Exam P-1
An insurance company examines its pool of auto insurance customers and gathers the following information:
- (i) All customers insure at least one car.
- (ii) 70% of the customers insure more than one car.
- (iii) 20% of the customers insure a sports car.
- (iv) Of those customers who insure more than one car, 15% insure a sports car.
Calculate the probability that a randomly selected customer insures exactly one car and that car is not a sports car.
- A) 0.13
- B) 0.21
- C) 0.24
- D) 0.25
- E) 0.30
Answer this question and see the worked solution