## Probability and distribution Problem?

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maxg1
Posts: 5
Joined: Sat Jun 21, 2014 9:55 pm UTC

### Probability and distribution Problem?

I have to formulate this in excel and was wondering if anyone could help me with the formulas.

It has also determined that the number of repair claims filed each week is a random variable
which can take values 1, 2, 4, 5, 6, 7, 8, 9. The probability of having 1 or 9 claims in a week is
equal. The probability that there are 2, 6, 7 or 8 claims in a week is twice the probability of
there being a single claim. The probability that there are 4 claims in a week is twice the
probability that there are 2 claims in a week. The probability that there are 5 claims in a week is
6 times the probability that there is a single claim in a week. The dollar amount per claim fits a
normal distribution with a mean claim amount of \$2000 and a standard deviation of \$400.

In addition to repair claims, the company also receives claims for cars that have been “totaled”
and cannot be repaired. There is a 20% chance in any week of receiving this type of claim. The
claims for “totaled” cars cost has a uniform distribution, in the range \$10000 to \$35000. Not all
repair claims are legitimate: 1% of the repair claims filed are rejected. Of the “totaled” claims
filed, 0.5% of them are rejected.

I'm not sure how to make the formulas for paragraph 1. And then I don't know how to incorporate the probability into the random uniform distribution and how to incorporate the reject variable.

Any help would be greatly appreciated.

heatsink
Posts: 86
Joined: Fri Jun 30, 2006 8:58 am UTC

### Re: Probability and distribution Problem?

This sounds like a homework problem, so I'm going to focus on the approach to solving it without going into too much detail. You can elicit better answers if you show what you have done so far, so that we can see what's preventing you from solving the problem yourself and specifically target that when explaining things. I don't know how to translate this task into esolang code.

You can compute the probability of each possible number of repair claims, P(N=1) through P(N=9). The first paragraph gives you the ratios P(N=a) / P(N=b) for various a and b. Using these ratios, you can express all the probabilities in terms of a single unknown, e.g. P(N=2) = 2 * P(N=1). The sum of all the probabilities must be 1, so use that to solve for the value of P(N=1). That gives you all the information you need about the number of repair claims.

There are many ways to generate a normal distribution of values, see http://stackoverflow.com/questions/7567 ... stribution

It's not clear what you actually want to compute here. Are you randomly generating sample data according to the given probability distributions?

phlip
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Joined: Sat Sep 23, 2006 3:56 am UTC
Location: Australia
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### Re: Probability and distribution Problem?

`enum ಠ_ಠ {°□°╰=1, °Д°╰, ಠ益ಠ╰};void ┻━┻︵​╰(ಠ_ಠ ⚠) {exit((int)⚠);}`