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Gelneren [198K]
2 years ago
5

A company prices its tornado insurance using the following assumptions:

Mathematics
1 answer:
ziro4ka [17]2 years ago
8 0

Answer:

.441320612

or

44.132%

Step-by-step explanation:

This is binomial

fewer than 3 is equal to p(0)+p(1)+p(2)

p(0)={19\choose0}*.15^0*(1-.15)^{19}=.045599448\\p(1)={19\choose1}*.15^1*(1-.15)^{18}=.152892268\\p(2)={19\choose2}*.15^2*(1-.15)^{17}=.242828896\\p(0)+p(1)+p(2)=.441320612

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