An auto insurance company has 32,000 clients, and 5% of their clients submitted a claim in...
An auto insurance company has 32,000 clients, and 5% of their clients submitted a claim in the past year. We will take a sample 3,200 clients, and determine how many of them have submitted a claim in the past year.
a) What is the sampling distribution for the sample proportion?
b) Increased road accidents have caused an increase in these claims. What is the probability that the proportion of claims in the sample is more than 9%?
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1.
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