Mathematics, 29.10.2019 11:31 onlinebby7878

An insurance company estimates the probability of an earthquake in the next year to be 0.0013.
the average damage done by an earthquake it estimates to be $60,000. if the company offers
earthquake insurance for $100, what is their expected value of the policy?

Answers: 1

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An insurance company estimates the probability of an earthquake in the next year to be 0.0013.
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An insurance company estimates the probability of an earthquake in the next year to be 0.0013. the average damage done by an earthquake it estimates to be $60,000. if the company offers earthquake insurance for $100, what is their expected value of the policy?

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Another question on Mathematics

An insurance company estimates the probability of an earthquake in the next year to be 0.0013.
the average damage done by an earthquake it estimates to be $60,000. if the company offers
earthquake insurance for $100, what is their expected value of the policy?