The premium that the insurance company should charge each year to realize an average profit of $500 is $6,900.
First step is to calculated the expected amount to pay
Expected amount=Total loss +50% loss+25% loss
Expected amount=$200,000(0.002)(1)+$200,000(0.01)(0.5)+$200,000(0.1)(0.25)
Expected amount=$400+$1,000+$5,000
Expected amount=$6,400
Second step is to calculate the premium
Premium=Expected amount+ Average profit
Premium=$6,400+$500
Premium=$6,900
Inconclusion the premium that the insurance company should charge each year to realize an average profit of $500 is $6,900.
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Answer:
<h3 /><h3>The preparatory test for the SAT is called the <u>PSAT</u>.</h3>
The Preliminary SAT/National Merit Scholarship Qualifying Test (PSAT/NMSQT) is a standardised test administered by the College Board and cosponsored by the National Merit Scholarship Corporation (NMSC) in the United States.
<h3 /><h3>Additional Information:</h3>
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Answer:
Explanation:
What is the radius or diameter? I can't help you without that.
In the excretory system, the waste materials are filtered from the blood. They are gotten rid off in order to maintain internal chemical homeostasis.
<h3>What is the Excretory System?</h3>
The excretory system can be described as a biological system that aids the body in removing unwanted materials from fluids of the body of organisms.
The main reason for the function of the excretory system is to maintain internal chemical homeostasis and prevent the body from damage.
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