• anonymous
need help with some statistics will medal and fan!! An insurance company issues a policy for a diamond ring worth $17500 for an annual premium of $262.50. If the probability that the ring will be lost or damaged is .005, what is the company’s expected profit? a) $170 b) $175 c) $87.50 d) $82.50 e) NOTA
  • Stacey Warren - Expert
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  • chestercat
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  • anonymous
@IrishBoy123 any clues?
  • IrishBoy123
expected loss would be 17500 * 0.05 so i guess expected profit would be the premium minus that..... this is really an accounting question :p yuk

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