Answer Happy

Choose the type of distribution in the following cases. Find its
parameters if you can.
7. Catastrophic accidents occur on nuclear stations
approximately once per 1500 years. Overall, there are 30 nuclear
stations in a country. Each station is independent from other
stations. For each station, the remaining time until the next
accident is independent of time elapsed since the previous
accident. Find the number of accidents happening in this country in
the next century.
8. A stock market crash occurs approximately once every 10
years. Each year is independent from the past years. Find the
number of years remaining until the next crash.
9. A family takes a road trip of 360 miles. At a random point
during the trip, they exit the car and have a take-home dinner. Any
point along this road is equally likely. Find the distance traveled
until the dinner.
10. A mutual fund price is influenced by new information, coming
in many frequent small pieces. Each factor is influencing the price
by increasing or decreasing it by a certain small percentage.
Assume the efficient-market hypothesis (all future new information
is independent of the past and is immediately incorporated in the
price). Find the price.
11. An insurance company has 5600 clients. It pays each client a
random sum, independently of each client. Find the overall sum paid
to all clients.
12. Time until a personal computer break has mean 2.5 years. The
time is independent from the time since the start of its use. Find
the time until it breaks.