My Math Forum  

Go Back   My Math Forum > College Math Forum > Advanced Statistics

Advanced Statistics Advanced Probability and Statistics Math Forum


Reply
 
LinkBack Thread Tools Display Modes
January 31st, 2018, 04:12 PM   #1
Senior Member
 
Joined: Oct 2015
From: Antarctica

Posts: 128
Thanks: 0

Exclamation Random Sum of Random Variables

There are 400 individuals, each of whom has a 0.2 chance of incurring a claim. If the distribution of the individual claim amount, given that a claim has occurred, is uniform on the interval [0, 200].

Find the mean and variance of the total claim.

I calculated the mean of total claim amount to be 8000 and the variance of the total claim amount to be 906,666.67, but I'm honestly not confident in this answer. I was struggling to justify it using conditional distributions and the iterated rule (which is what I assumed I was supposed to use), and instead just relied on intuition to arrive at those answers. Can somebody explain how to justify them, if they're correct?
John Travolski is offline  
 
Reply

  My Math Forum > College Math Forum > Advanced Statistics

Tags
random, sum, variables



Thread Tools
Display Modes


Similar Threads
Thread Thread Starter Forum Replies Last Post
random variables georgia19 Advanced Statistics 1 December 6th, 2014 03:33 PM
Theory and Problems of Probability, Random Variables, and Random Processes messaoud2010 Probability and Statistics 1 July 18th, 2014 11:26 AM
Sum of random variables blur Advanced Statistics 1 March 16th, 2014 12:58 PM
Random variables ricardo Advanced Statistics 4 December 27th, 2013 12:24 AM
PDF of sum of random variables gama Advanced Statistics 1 November 3rd, 2013 10:36 AM





Copyright © 2018 My Math Forum. All rights reserved.