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4.20% of claims follow a N (u = 5,000, o2 = 500,000) distribution and 80% of claims folow a N(u = 7,000,02 = 1000,000) distribution
4.20% of claims follow a N (u = 5,000, o2 = 500,000) distribution and 80% of claims folow a N(u = 7,000,02 = 1000,000) distribution (annual mean and annual variance). Find the cash values which company should hold to be able to cover claims completely with 94% 96% and 97% confidence levels on that month. Good Luck 1
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