SOA Exam P Sample Question 79
Study guide: Exam P-1
In a small metropolitan area, annual losses due to storm, fire, and theft are assumed to be mutually independent, exponentially distributed random variables with respective means 1.0, 1.5, and 2.4.
Calculate the probability that the maximum of these losses exceeds 3.
- A) 0.002
- B) 0.050
- C) 0.159
- D) 0.287
- E) 0.414
Answer this question and see the worked solution