Actuarial Notes

SOA Exam P Sample Question 90

Study guide: Exam P-1

A store has 80 modems in its inventory, 30 coming from Source A and the remainder from Source B. Of the modems in inventory from Source A, 20% are defective. Of the modems in inventory from Source B, 8% are defective.

Calculate the probability that exactly two out of a sample of five modems selected without replacement from the store's inventory are defective.

  • A) 0.010
  • B) 0.078
  • C) 0.102
  • D) 0.105
  • E) 0.125

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