The expected value of this policy to the insurance company is $285.00.
Using this formula
Policy expected value=Insurance policy charges-[(Probability × Claim)+(Probability × Claim)]
Let plug in the formula
Policy expected value=$1,300-{(.0041)($150,000)+(.08)($5,000)]
Policy expected value=$1,300-($615+$$400)
Policy expected value=$1,300-$1,015
Policy expected value=$285.00
Inconclusion the expected value of this policy to the insurance company is $285.00
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Answer:
Step-by-step explanation:
(x - 2)/2 = 4
x - 2 = 8
x = 10
(y + 2)/2 = -3
y + 2 = -6
y = -8
(10, -8)
Answer is Rachel worked 3 2/3 hours
Step by step
Dominic worked 2 3/4 hours
Rachel worked (1 1/3) times (2 3/4)
1 1/3 x 2 3/4. Change into an improper fraction
4/3 x 11/4. multiply across
44/12
Simplify
= 3 2/3
Roth IRA doesn't get you a tax deduction for the contributions, but the earnings grow tax free and you don't pay tax on the withdrawals after retirement. A traditional IRA gives you a tax deduction for the contributions at the time you make them, and the earnings grow tax free, but when you withdraw the money after retirement, you are taxed on it. The idea is that you are hopefully in a lower tax bracket at that point. So its only natural that Roth IRA is the best.
