Constructing Multiple Decrement tables.

[Edwin]

When solving a problem having to take into account dependent rates of decrement, it is never really necessary to construct a multiple decrement table, is it??

Unless either when explicitly told to do so, or when independent rates of decrement vary across the year (see 105_S01_7). If the of independent rates of decrement vary from year to year, constructing a multiple decrement table may even be time consuming (see 105_s02_09) but it may also save your time, so the strategy is to decide on the spot which one will save your time?

I'm I right, if not when is it best to use the MDT apart from when explicitly told to do so, or when independent rates of decrement vary across the year

Thanks.

 

[Edwin]

When solving a problem having to take into account dependent rates of decrement, it is never really necessary to construct a multiple decrement table, is it??

Unless either when explicitly told to do so, or when independent rates of decrement vary across the year (see 105_S01_7). If the of independent rates of decrement vary from year to year, constructing a multiple decrement table may even be time consuming (see 105_s02_09) but it may also save your time, so the strategy is to decide on the spot which one will save your time?

I'm I right, if not when is it best to use the MDT apart from when explicitly told to do so, or when independent rates of decrement vary across the year

Thanks.

It appears MDT save time.

 

[Mark Mitchell]

Yes - constructing and using a multiple decrement table to calculate a dependent probability over a number of years can be quicker than trying to calculate the probability by multiplying together the dependent probabilities for each year.

So, you have to choose the approach you think will be most efficient.

A09 Q13 might be good practice here.