Show transcribed image text An insurance company takes a sample of 400 Medical claims in order to estimate the characteristics of the claims that have been submitted for reimbursement. In particular the insurance company wishes to estimate the mean size of the claims and the percentage of claims that exceed $1,000. The number of claims processed by the insurance company next year will be 200,000. The following information was obtained: Sample Mean $600 Sample Standard Deviation $500 Frequency Distribution of Medical Claims FREQUENCY DISTRIBUTION FREQUENCY (NUMBER OF CLAIM SIZE RANGE (dollars) 500 500
An insurance company takes a sample of 400 Medical claims in order to estimate the characteristics of the claims that have been submitted for reimbursement. In particular the insurance company wishes to estimate the mean size of the claims and the percentage of claims that exceed $1,000. The number of claims processed by the insurance company next year will be 200,000. The following information was obtained: Sample Mean $600 Sample Standard Deviation $500 Frequency Distribution of Medical Claims FREQUENCY DISTRIBUTION FREQUENCY (NUMBER OF CLAIM SIZE RANGE (dollars) 500 500