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A delivery company makes deliveries 6 days a week. Accidents involving the vehicles of this company occur according to a Poisson process with a rate
A delivery company makes deliveries 6 days a week. Accidents involving the vehicles of this company occur according to a Poisson process with a rate of 3 per day. In each accident, damage to the contents of the vehicles is independently distributed as follows: Amount of damage $2.000 $8.000 Probability 0.5 0.25 (a) Determine the mean and variance of the companys weekly aggregate damages. (b) Determine the probability that the companys weekly aggregate damages will not exceed $63,000
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