Logo
Home Study Material Contact Search
AI Chat FREE
  1. mathematics
  2. statistics
  3. suppose a life insurance company sells a 240 000 1

Suppose a life insurance company sells a 240 000 1 year term life insurance policy...

50.1K

Verified Solution

Question

Statistics

image

Suppose a life insurance company sells a 240 000 1 year term life insurance policy to a 20 year old female for 180 According to the National Vital Statistics Report 58 21 the probability that the female survives the year is 0 999544 Compute and interpret the expected value of this policy to the insurance company The expected value is Round to the nearest cent as needed CO Which of the following interpretations of the expected value is correct Select the correct choice below and fill in the answer box to complete your choice Round to the nearest cent as needed OA The insurance company expects to make a profit of OB The insurance company expects to make a maximum O c The insurance company expects to make a profit of OD on every 20 year old female it insures for 1 month profit of on every 20 year old female it insures for 1 year on every 20 year old female it insures for 1 The insurance company expects to make a minimum profit of month on every 20 year old female it insures for 1 year

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Finance
1.2K views

Thomson Trucking has $25 billion in assets, and its tax rate is 40%. Its basic earning...

Mechanical Engineering
1.2K views

OCCUPATION : Production AND industrial   WHAT ARE THE RESPONSIBILITIES WILL BE IN THE JOB?    WHAT IS MY ANNUAL...

Mechanical Engineering
1.2K views

(a) In a couple of sentences with clear annotated sketches explain the following terms: lobe separation; valve overlap; curtain area.

General Management
1.2K views

write about how Canada’s legal system protects its citizens better than another country (i.e. compare Canada...

Accounting
1.2K views

Retirement of debt. (Tables needed.) Steve Milner borrowed $120,000 on July 1, 2017. This amount plus...

Physics
1.2K views

Three concentric spherical shells have radii a b and c a b c and have...

Algebra
1.2K views

2 A 2 X and D 3 What is the value of A D 2...

Accounting
1.2K views

Question 8 --/6.25 View Policies Current Attempt in Progress Vaughn Manufacturing, which has...

Accounting
1.2K views

Supor Company predicts its sales for May will be 24,000 units. On the May budget,...

Accounting
1.2K views

A manufacturer uses standard costing. For the month, the labor price variance was unfavorable while...

Accounting
1.2K views

(B) Prepare Peter Jordan Plc's Statement of Changes in Equity for the year ended 30...

Accounting
1.2K views

2 Materials Budget Lamp Kits Needed lor Production Desired Ending Invertory Total Needed Less: Beginning...