In the ruin problem of Section 7.4 let F denote the interarrival distribu- tion of claims and
Question:
In the ruin problem of Section 7.4 let F denote the interarrival distribu- tion of claims and let G be the distribution of the size of a claim. Show that p(A), the probability that a company starting with A units of assets is ever ruined, satisfies P(A) = * *p(A + ct - x) dG(x) dF(t) + (A + ct) dF(t).
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