The expected value of health care without insurance is $437.25.
The expected value of health care with insurance is $1,636.40.
<h3>What are the expected values?</h3>
The expected values can be determined by multiplying the respective probabilities by its associated costs.
The expected value of health care without insurance
= (1 x 0) + (0.32 x 1050) + (0.45 x $225)
= $437.25
The expected value of health care with insurance
= (1 x 1580) + (0.32 x 75) + (0.45 x $72)
= $1,636.40
Thus, The expected value of health care without insurance is $437.25.
The expected value of health care with insurance is $1,636.40.
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Answer:
A) See attached.
B) Cheryl owes the bank more.
Step-by-step explanation:
Given account balances:
- John: -$2.75
- Cheryl: -$3.00
- Andrew: $2.75
(Andrew has as much savings in his account as the amount John owes).
<h3><u>Part A</u></h3>
- Draw a straight, horizontal line with arrows on both ends.
- Place a tick in the center of the line and label it zero.
- Draw 4 evenly spaced ticks either side of the zero.
- Number the ticks to the right of the zero 1, 2, 3 and 4.
- Number the ticks to the left of the zero -1, -2, -3, and -4.
- Mark -2.75, -3 and 2.75 on the number line.
- Label the marks with John, Cheryl and Andrew.
(See attached number line).
<h3><u>Part B</u></h3>
The <u>absolute value</u> of a number is its <u>positive numerical value</u>.
To calculate how much John and Cheryl owe the bank, take the absolute values of their account balances:
As 3.00 > 2.75, Cheryl owes the bank more.
I believe the probability is 1/2
5x=15
X=3
2(3)+y=5
Y= -1
(3,-1)