SOA Exam P Sample Question 439
Study guide: Exam P-1
An insurance company's profit for one year is normally distributed with probability 0.8531 of being positive.
The company's profit the next year is normally distributed with probability 0.9192 of being positive.
The yearly profits are independent with the same mean but different standard deviations.
Calculate the probability that the insurance company earns an overall positive profit in this two-year period.
- A)
0.7842 - B)
0.7995 - C)
0.8849 - D)
0.9535 - E)
0.9929
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