Could you explain how we derive equation 18.6 on Chapter 18 page 17? I have tried deriving this myself and can only get this answer if n = mu.
I am also confused on the distinction between n and mu. Unless I've misunderstood this, mu is the expected number of claims and n is also the expected number of claims. So why have two different variables?
I am also confused on the distinction between n and mu. Unless I've misunderstood this, mu is the expected number of claims and n is also the expected number of claims. So why have two different variables?