SOA Exam P Sample Question 431
Study guide: Exam P-1
Each year, a car insurance company's four quarterly profits are mutually independent and normally distributed with common mean and variance. Each quarter, the probability that the company earns a positive profit is 0.80.
Calculate the probability that the company earns an overall positive profit in a given year.
- A)
0.410 - B)
0.663 - C)
0.800 - D)
0.954 - E)
0.998
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