question archive You are to use simulation to analyze the medical claims Yi, i = 1, 2,
Subject:Operations ManagementPrice:2.87 Bought7
You are to use simulation to analyze the medical claims Yi, i = 1, 2, ..., 9 of each person in a group of nine. Insurance coverage pays for the excess, if any, of each claim over $10,000. The distribution of Yi is given by P(Y = 0) = 0.10, P(Y = 100) = .80, P(Y = 50000) = .09, P(Y = 100000) = .01 You are to simulate the Y?, i = 1, 2, ..., 9 for the group using the following uniform random numbers on [0, 1]. .13,.54,93, .995, 27,89, .42,.86, .95. Determine the average amount paid by the insurance company.
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