Poisson, Binomial Distributions

AI Thread Summary
The discussion focuses on a homework problem involving Poisson and Binomial distributions related to insurance claims. The probability that no claims will be accepted in a week is calculated using P(N = 0) = (1 - p)x, where x is the number of claims. The expected number of accepted claims is derived as λp, where λ is the expected number of total claims. The distribution for the number of accepted claims, N, is identified as binomial with parameters x and p. The conversation emphasizes the importance of both expected values and probability calculations in solving the problem.
Millacol88
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Homework Statement



The number of claims that an insurance company receives per week is a random variable with the Poisson distribution with parameter λ. The probability that a claim will be accepted as genuine is p, and is independent of other claims.

a) What is the probability that no claim will be accepted over one week?
b) Find the expected number of accepted claims over one week.
c) Let N be the number of accepted claims over one week. Find the probability distribution for N.

Homework Equations



Poisson: P(X=x) = λx/x! e

The Attempt at a Solution



a) If x is the number of attempted claims, P(N = 0) = (1 - p)x, I think.

b/c) The distribution for N should be binomial(x, p). Now the expectation value of X is λ. And the expectation value of N is xp. Would this then become λp?
 
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Millacol88 said:

Homework Statement



The number of claims that an insurance company receives per week is a random variable with the Poisson distribution with parameter λ. The probability that a claim will be accepted as genuine is p, and is independent of other claims.

a) What is the probability that no claim will be accepted over one week?
b) Find the expected number of accepted claims over one week.
c) Let N be the number of accepted claims over one week. Find the probability distribution for N.

Homework Equations



Poisson: P(X=x) = λx/x! e

The Attempt at a Solution



a) If x is the number of attempted claims, P(N = 0) = (1 - p)x, I think.

b/c) The distribution for N should be binomial(x, p). Now the expectation value of X is λ. And the expectation value of N is xp. Would this then become λp?

Yes.

I mean: the expectation is ##\lambda p##. You still need to deal with the issue of the probability values---not just the expected value.
 
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