Actuarial Notes

SOA Exam P Sample Question 677

Study guide: Exam P-1

In a certain group of medical insurance policyholders, the length of a hospitalization is a random variable modeled with density function

f(x) = \begin{cases}
0.4\left(e^{-0.6x} + e^{-1.2x}\right), & x > 0 \\
0, & \text{otherwise.}
\end{cases}

Calculate the median length of hospitalizations.

  • A) 0.537
  • B) 0.905
  • C) 0.963
  • D) 1.252
  • E) 1.389

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