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Radda [10]
3 years ago
15

An insurance policy sells for $1000. Based on past data, an average of 1 in 50 policyholders will file a $10,000 claim, an avera

ge of 1 in 100 policyholders will file a $25,000 claim, an average of 1 in 250 policyholders will file a $60,000 claim. Find the expected value (to the company) per policy sold. Hint: make sure you use all of the numbers in this problem.
Business
1 answer:
Zolol [24]3 years ago
7 0

Answer:

Expected value = $550

Explanation:

Expected value = Sales price of policy - policy holder price - Average policy payment - expected claim

Expected value = 1,000 - 10,000[1/250] - 25,000[1/100] - 60,000[1/250]

Expected value = 1,000 - 40 - 250 - 240

Expected value = 1,000 - 450

Expected value = $550

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Spiritually, risky behavior can truly take a toll. If you are religious, your actions won’t be in line with your beliefs (most likely). There is a trickle down effect from there. Lots of times, risky behavior makes a person feel paranoid because a person is doing things s/he feels is wrong. All of that takes a toll on a person physically. When you compromise yourself, you will tend to be on an emotional roller coaster. Not a great way to live
6 0
2 years ago
Suppose Germany, a large country, imposes a tariff on tuna imports. Before the tariff, all the countries in the world are engage
Ede4ka [16]

Answer:

1. This is true.

The Germans will pay a higher price for tuna because the tariff will increase the price of imported tuna and the reduction in completion with the local producers will lead to higher prices as the local producers take up their price.

2. This is true.

German producers no longer have to compete as much with imported tuna which was cheaper. They will therefore be able to raise their prices.

3. This statement is false.

The world price of Tuna DOES NOT increase because the tariff is only applicable in Germany. Other parts of the world will trade tuna as before. This is what is assumed.

4. This statement is true.

If Vietnam was exporting tuna to Germany, they will become worse off because they will see a decline in demand for their tuna on account of the tariffs making the tuna more expensive.

5. This is false.

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5 0
3 years ago
I make $2,000/month. Of that the government takes $200 in taxes. Then I pay $1,000 for rent, $400 for food, and $200 in utilitie
Musya8 [376]

Answer:

My savings

Explanation:

Savings for a month is the amount left after deducting all my expenditure from my monthly income

Savings = income - total expenditure

income = $2,000

total expenditure = $200 + $1,000 + $400 + $200 = $1,800

Savings = $2,000 - $1,800 = $200

7 0
4 years ago
Lawrence Company has cash in bank of $22,000, restricted cash in a separate account of $4,000, and a bank overdraft in an accoun
andre [41]

Answer:

$22,000

Explanation:

It is worth noting that for accounting purposes, restricted cash is one that is not readily available. Such inaccessible funds, therefore, cannot be reported in financial statements. A bank overdraft, on the other hand, is a liability. Lawrence should therefore report cash worth $ 22,000 only.

3 0
3 years ago
______ - _____ property is any property such as clothing, a home, or a car, that is for purposes OTHER THAN use in a trade, busi
abruzzese [7]

Answer:

Personal-use

Personal

Real

Explanation:

There are three types of properties which are shown below:

1. Personal use: These properties which are used by a person for their personal purpose rather than business purpose like - clothing, jewelry, home, car for their comfort and enjoyment.

2. Personal: These include those properties which are movable or transferable for one place to other like - machinery, furniture, other building,  etc as per the needs.

3. Real: These properties include properties that are non-movable i.e land, building, canals, etc. This is also known as immovable properties.

6 0
3 years ago
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