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Mathematics, 07.12.2020 22:50 colbs41

An automotive insurance company has 25,000 policyholders. The accident rate is 0.07. The number of accidents the company will have to pay out for is . If the payout for each claim (after deductibles) is $8,000, the company’s total payouts will amount to $ . If the company wants to keep a profit margin of 8%, the premium it must charge is $ . The company can set aside a maximum amount of $ for this year’s investments.

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An automotive insurance company has 25,000 policyholders. The accident rate is 0.07. The number of a...

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