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Business, 02.12.2021 03:50 pearlielb

You are considering buying insurance for your new laptop computer, which you have recently bought for $1,200. The insurance premium for three years is $70. Over the three-year period there is an 10% chance that your laptop computer will require work worth $416, a 2% chance that it will require work worth $840, and a 2% chance that it will completely break down with a scrap value of $170. Required:
Should you buy the insurance?

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