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.
Learn more about insurance premium here:brainly.com/question/24441770
A Reach College is a college to which you have a less than 50% chance of being admitted
Answer:
B. Students' ACCUPLACER scores might indicate that they need to
develop certain skills before enrolling in college-level coursework.
Explanation:
It would be 8:37 am (it only changes for pm)
