Actuarial Notes

SOA Exam P Sample Question 666

Study guide: Exam P-1

Engineering specifications require that the probability a ball bearing produced at a manufacturing plant has diameter between 10.5 and 11.5 is at least 0,8 (as printed). The diameters of these ball bearings are normally distributed with mean 11 and standard deviation \sigma.

Calculate the largest value of \sigma for which the specification is met.

  • A) 0.15
  • B) 0.39
  • C) 0.59
  • D) 1.60
  • E) 2.56

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