The number of accidents the company will have to pay out for is 1,750. If the payout for each claim (after deductibles) is $8,000, the company’s total payouts will amount to $14,000,000. If the company wants to keep a profit margin of 8%, the premium it must charge is $604.8. The company can set aside a maximum amount of $1,120,000 for this year’s investments.
1.) 25,000 policyholders x 7% accident rate = 1,750 2.) 8,000 payout x 1,750 number of accidents = 14,000,000 3.) 14,000,000 expense x (1 + 8% profit margin) = 15,120,000 / 25,000 policy holders = 604.8 4.) 8,000 x 8% profit margin = 640 (which is higher than the premium) x 1,750 numer of accidents = 1,120,000 (I'm not so sure with this one tho)
The mean of the weights of a group of 100 men and women is 160lb. If the number of men in the group is 60 and the mean weight of the men is 180lb, what is the mean weight of the women? For a set of data, the lower quartile is 19, the median is 31, and the upper quartile is 48.
