Question

Seriously guys, I'm so confused! Please help! I will give brainliest to whoever gives the best answer! Thank you!

Answer 1

Answer:

What is the expected value for the insurance company?

E(x) = 0.9986*161 + 0.0014*(-99839) = $21.00

Step-by-step explanation: Ur welcome

There is a 0.9986 probability that a randomly selected 30 year old male lives through the year. A life insurance company charges $161 for insuring that the male lives through the year. If the male does not survive the year, the policy pays out $100,000 as a death benefit.