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An insurance company has determined that the number of motor insurance claims per customer per year has the following probability distribution:
No. of claims (x)
0
1
2
3
4
>4
P(x)
?
0.24
0.11
0.03
0.01
(a) What is the probability that a customer makes no claims during the year?
(b) If the company has five thousand customers, what is the expected number of claims per year?
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