Mathematics, 17.03.2020 04:33, Gearyjames8
Let X be the damage incurred (in $) in a certain type of accident during a given year. Possible X values are 0, 1000, 5000, and 10000, with probabilities 0.83, 0.09, 0.06, and 0.02, respectively. A particular company offers a $500 deductible policy. If the company wishes its expected profit to be $100, what premium amount should it charge?
Answers: 1
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Let X be the damage incurred (in $) in a certain type of accident during a given year. Possible X va...
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