Decision rule for a hypothesis test
What is the decision rule for a hypothesis test about the dierence between two population means if the p -value is used?
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A particular company offers a $500 deductible policy. If the company wishes its expected profit to be $100, what premium amount should it charge?
Sometimes the geometric random variable is defined to be the number of trials, X, preceding the first success. Write down the corresponding pdf and derive the moment-generating function for X two ways-(1) by evaluating E (et X ) directly and (2) b
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In the game of "craps" two dice are thrown and the outcome of a bet is based on the sum of the two dice. If you bet $1 that the sum is "seven" then you win $4 or lose your dollar. The probability that you win is 6/36=1/6, and P(loss) = 5/6. Fin
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