Revision as of 01:25, 1 June 2022 by Admin (Created page with "For a constant <math>b = 400</math>, you are given the following about a loss <math>L</math>: *<math>\operatorname{E}[L^2 \cdot 1_{L \leq b} ] = 3</math> *<math>\operatorname...")
ABy Admin
Jun 01'22
Exercise
For a constant [math]b = 400[/math], you are given the following about a loss [math]L[/math]:
- [math]\operatorname{E}[L^2 \cdot 1_{L \leq b} ] = 3[/math]
- [math]\operatorname{E}[L \cdot 1_{L \leq b} ] = 2[/math]
- [math]\operatorname{P}(L \leq b) =0.8[/math]
Determine the variance of the loss when a limit of [math]b[/math] is applied.
- 25,276
- 25,279
- 25,603
- 32,003
- 32,103