Suppose that is the length of stay (in days) in a hospital for gastric bypass surgery. Suppose that follows a Poisson distribution with a mean of 3 days. The total cost of the hospital stay is (in dollars). What is the expected cost of the hospital stay for gastric bypass surgery?
Suppose that is the number of car accidents in the next year for an individual who just purchased auto insurance. The insurer estimated that follows a Poisson distribution with . What is the probability that this individual will have exactly two accidents in the upcoming year?
Answers are found below.