subject
Mathematics, 20.01.2021 19:50 Briza19

A life insurance company sells a term insurance policy to 21-year old males that pays $100,00 if the insured dies within the next 5 years. The probability that a randomly chosen male will die each year can be found in mortality tables. The company collects a premium, of $250 each year as payment for the insurance. The amount Y that the company earns on a randomly selected policy of this type is $250 per year, less the $100,000 that it must pay if the insured dies. The Chart Below is the probability distribution of Y

Calculate the expected value of Y. Explain what this results means for the insurance company.


A life insurance company sells a term insurance policy to 21-year old males that pays $100,00 if th

ansver
Answers: 1

Other questions on the subject: Mathematics

image
Mathematics, 21.06.2019 12:50, maguilarz2005
4. a spring scale is constructed so that each 0.10-n increment is separated by 0.50 cm. what spring constant is necessary for the scale to be accurate? -1.0n/cm -0.10n/cm -9.8 n/cm -0.20n/cm
Answers: 3
image
Mathematics, 21.06.2019 15:10, hannahbaak
12x + 1 = 25 solve the following equation. then place the correct number in the box provided.
Answers: 2
image
Mathematics, 21.06.2019 16:50, fireman59937
Kapil needed to buy a long wooden beam. he went to two sawmills that each charge an initial fee plus an additional fee for each meter of wood. the following equation gives the price (in dollars) of a wooden beam from the first sawmill as a function of its length (in meters). p = 5+20xp=5+20x
Answers: 1
image
Mathematics, 21.06.2019 22:30, xandraeden32
Ingredient c: 1/4 cup for 2/3 serving or ingredient d: 1/3 cup for 3/4 serving which unit rate is smaller
Answers: 2
You know the right answer?
A life insurance company sells a term insurance policy to 21-year old males that pays $100,00 if the...

Questions in other subjects:

Konu
Biology, 27.04.2021 22:00
Konu
Mathematics, 27.04.2021 22:00