Estimate the outage rates

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Power line outages. Seven power lines of different lengths had outages as shown below. The exposure of a line equals its length times the years observed. Assume that the number of outages has a Poisson distribution

(a)    Estimate the outage rates (failures per year per mile) for lines 1 and 5

(b)   Calculate exact two-sided 95% confidence limits for the outage rate of line 1

(c)    Calculate approximate two-sided confidence limits for the outage rate of line 5

(d)   Calculate a prediction and exact 90% prediction limits for the number of outages on line 1 in the coming year.

(e)   Calculate a prediction and approximate 90% prediction limits for the number of outages on line 5 in the coming year

(f)     Criticize all assumptions in (a) through (e).

Reference no: EM131056676

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