Exam P MUST KNOW | Exponential RV & Expectation

Here is a handy trick to save yourself some time on this type of question. The exponential RV has this property because it is memoryless.

[mahimaarora]

Thanks for your reply, it will be a great help .

[bobdole]

Yeah thank god I watched this vid so far the questions are getting easier for me....so far I got through the SOA practice questions and 7 exams on the ACTEX I'm definitely gonna look into TIA afterwards

[sarahigarza]

Hi, I need help with a problem, ACTEX exam 6, problem 15. It says: Smith plays a gambling game in which his probability of winning on any given play of the game is .4. If smith bets 1 and wins, the amount he wins is 1, and if he loses, then he loses the amount of 1 that he bet. Smith devises the following strategy. If he loses a game, he doubles the amount that he bets on the next play of the game. He continues the strategy of doubling after each loss until he wins for the first time. He stops as soon as he wins for the first time. Smith has a limited amount of money to gamble, say $c. If he loses all $c he goes broke and stops playing the game . Find the minimum amount c that Smith needs in order for him to have a probability of at least .95 of eventually winning before he goes broke. The answer is 63. Hope you can help me .

[DappuDon]

Sir do you know some things about statistical inference? I wanted to ask a question.

[mahimaarora]

Hi Alex,
Thanks for yours videos, they are very helpful .
Can you please make videos for SOA 313, 314 and 318 ?