In certain newly developed clothing items featuring spandex, spandex itself solves the same customer problems that used to solve. In certain newly developed clothing items featuring spandex, spandex itself solves the same customer problems that used to solve.

An insurance company estimates the probability of an earthquake in the next year to be 0.0015. the average damage done to a house by an earthquake it estimates to be $90,000. if the company offers earthquake insurance for $150, what is company`s expected value of the policy? hint: think, is it profitable for the insurance company or not? will they gain (positive expected value) or lose (negative expected value)? if the expected value is negative, remember to show "-" sign. no "+" sign needed for the positive expected value