Solved: Solution of the dollar amount of damage involved in an, Microeconomics

Solution of the dollar amount of damage involved in an

Question: Solution of 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 400. Find the excepted value and standard deviation of the amount the insurance company pays per accident.

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Microeconomics: Solution of the dollar amount of damage involved in an

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Microeconomics: Solution of the dollar amount of damage involved in an

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