SOA Exam P Sample Question 474
Study guide: Exam P-1
A motorist currently has no traffic tickets.
The amount of time between now and when the motorist receives the first ticket is exponentially distributed with mean 0.80 years.
The motorist plans to drive more carefully after receiving the first ticket. Hence the mean time from the first ticket to the second is greater than 0.80. The amount of time between the first ticket and the second ticket is exponentially distributed and is independent of when the motorist receives the first ticket.
The variance of the number of years from now until the second ticket is 2.65.
Calculate the expected amount of time, in years, between the motorist's first and second traffic tickets.
- A)
0.83 - B)
0.96 - C)
1.42 - D)
1.85 - E)
2.01
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