(*) Prove that for the collective risk model (S) = (X) (N) and that ????(S) = (N)...
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(*) Prove that for the collective risk model (S) = (X) (N) and that ????(S) = (N)
????(X) + ????(N) (X)2 using the moment generating function MS(t) of S. In the formulae above, N, X and S are the random variables for the number of claims, the severity, and the aggregate losses, respectively.
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