The dollar amount of damage involved in an automobile accident is an exponential random variable...
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Accounting
The dollar amount of damage involved in an automobile accident is an exponential random variable with mean 1000. Of this, the insurance company only pays that amount exceeding (the deductible amount of) 400. find the expected value of the amount that the insurance pays per accident if the distribution of the dollar amount of damage per accident is gamma (2, 1/500)
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