A person has a collection of paintings worth $50,000. The paintings are insured with a policy premium cost of $200 per year. It is estimated that the likelihood of the collection being stolen is 0.001 If the collection is stolen, the insurance policy will refund the value of the collection. Compute the expected value from the standpoint of the insurance company. $150 -$150 $149.80

Q: The PTO is selling raffle tickets to raise money for classroom supplies. A raffle ticket costs $4.…

A: Given information Cost of raffle ticket=$4 There is 1 winning out of 180 ticket. Prize of winner=$62…

Q: An insurance policy sells for $800.Based on past​ data, an average of 1 in 50 policyholders will…

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Q: One thousand lottery tickets are sold at $2 each. A single ticket is drawn, and the winner receives…

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Q: A person has a 0.16% chance of dying in the next year. A life insurance policy with a $50,000 death…

A:

Q: The PTO is selling raffle tickets to raise money for classroom supplies. A raffle ticket costs $2.…

A: Given that, the cost of the raffle ticket is $2, an1 winning ticket was sold out of the 260 tickets…

Q: The president of Bullnose Shoes estimated the chances of different levels of earnings for this…

A: Let X be a random variable representing the Earnings and P[X=x] be the probability such that the…

Q: The percentage of vehicles on a freeway that violate the speed limit is π = 0.88 You randomly clock…

A: Given, π = 0.88n = 80   E (X) = n × π = 80 × 0.88 = 70.4

Q: A consultant has been hired to redesign a company's production facility. The consultant estimates…

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Q: In a product liability​ case, a company can settle out of court for a loss of​ $350,000, or go to​…

A: Given:settlement of case out side court loss is $350000if go to trail loss is $1350000probability of…

Q: The table shows claims and their probabilities for an insurance company. Use the table to answer…

A: Given Claims and their probabilities for an insurance company given below: Amount of claim ​(to…

Q: A 40-year-old man in the U.S. has a 0.245% risk of dying during the next year . An insurance company…

A: In this case, The probability of dying=0.245%…

Q: A 38-year-old woman purchases a $300,000 term life insurance policy for an annual payment of $490.…

A: Given Information: A 38-year-old woman purchases a $300,000 term life insurance policy for an annual…

Q: Organizers of an outdoor summer concert in Toronto are concerned about the weather conditions on the…

A: From the provided information, Organisers make a profit of $24,000 on a clear day with probability…

Q: Solve and analyze the problem A 33-year-old mother pays P12,000 per annum for a P500,000 life…

A: Using the given information we make a table Expected earning (12000 - 500000)= - 488000 (12000 -0…

Q: rizes at stake are, a laptop worth Php35,000, What is the expected value of your gain? Note: Do not…

A: Given A school club is organizing a fundraising campaign by selling raffle tickets. There are 1000…

Q: In a product liability​ case, a company can settle out of court for a loss of​ $350,000, or go to​…

A: Given Data: Loss if company settle out of court=350000 Loss if company takes case to the court and…

Q: An insurance policy sells for $300. Based on past data an average of 1 in 100 policyholders will…

A: The price of the insurance policy is: $300 Number of policies sold is: 10000 The total amount that…

Q: A company estimates that 0.1% of their products will fail after the original warranty period but…

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Q: An architect is considering bidding for the design of a new shopping mal. The cost of drawing plans…

A:

Q: An insurance company charges an annual premium of $500 for a policy against the theft of a painting…

A: Consider the given information.

Q: A company estimates that 0.7% of their products will fail after the original warranty period but…

A: Given that the company estimates that 0.7% of their products will fall after the original warranty…

Q: A 40-year-old man in the U.S. has a 0.247% risk of dying during the next year . An insurance company…

A: From the question: The probability of getting  $100,000 death benefit is 0.247% = 0.00247  And the…

Q: A coffee franchise is opening a new store. The company estin lose $3,500. Determine the expected…

A: Given, the company estimates that there is an 80% chance the store will have a profit of $45,000, a…

Q: A 31-year-old woman purchases a $100,000 term life insurance policy for an annual payment of $410.…

A: Given, The probability that she will survive the year is 0.999056. The probability that she will not…

Q: A card is drawn from a standard 52-card deck. Calculate the expected value for the game. A player…

A: Given: Player has to pay non refundable 12 dollars to play a game. Game includes drawing a card from…

Q: petermine the expected value of the lottery Expected value Would you pay $1 for a ticket?

A: The grand prize is $30.5 million 1 million=1,000,000 30.5 million=30.5*1000000=30500000 That is,…

Q: Erin is a basketball player who makes 70% of her 2-point shots and 20 percent of her 3-point shots.…

A: Given: for 2 point shotp=0.70

Q: In finance the notion of expected value is used to analyze investments for which the investor has an…

A: Let X be a random variable denotes the amount of return for the investment. The probability mass…

Q: are inspected in one day. What is the expected value of the number that fails inspection in one day?…

A: It is given that  The random variable X that is inspection follows Binomial distribution with…

Q: Do you think this is a good idea? Find the expected value of hosting the tournament.

A: Here Given Club Expense=$12,000 Revenue from ticket=$18,000 Probability of rain=0.2

Q: A 40-year-old man in the U.S. has a 0.241% risk of dying during the next year. An insurance company…

A:

Q: The daily low temperature in Ames forecast is in the table below for the next five days. If you pick…

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Q: Terry is a 60% free throw shooter and is in a one-and-one situation. (You need to make the 1st free…

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Q: A 28-year-old man pays $181 for a one-year life insurance policy with coverage of $150,000. If the…

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Q: A nearby drive-thru coffee shop tracks daily sales and has observed the distribution in the table…

A: The expected value formula is:

Q: A nonprofit organization sells chances for a $50,000 classic Mustang at $100 per ticket. It sells…

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Q: Suppose a stock sells for $45 today. The annual volatility of the stock is 37%, and analysts predict…

A: Let X be a random variable such that X: One year rate of return The expected returns from the stock…

Q: The PTO is selling raffle tickets to raise money for classroom supplies. A raffle ticket costs $3.…

A:

Q: A charity is selling 500 raffle tickets. One lucky person will win the grand prize of a Hawaiian…

A: Given information: Total number of tickets = 500 raffle tickets One lucky person will win the grand…

Q: A 37-year-old woman purchases a $100,000 term life insurance policy for an annual payment of $480.…

A: Expected value:   In the long run the average value obtained by repetitions for the given experiment…

Q: A consultant has been hired to redesign a company's production facility. The consultant estimates…

A: Given data : Profit / loss(X) Probability P(X) 40,000 0.07 30,000 0.30 20,000 0.38 10,000…

Q: What is the expected value? 1.22 1.05 1.77 1.50

A: Given that ;  X  and thier corresponding probability is given P(X = x) .  By using expectation…

Q: A 40-year-old man in the U.S. has a 0.244% risk of dying during the next year . An insurance company…

A:

Q: A 40-year-old man in the U.S. has a 0.245% risk of dying during the next year . An insurance company…

A: Revenue of the insurance company = $280 Cost of the insurance company = $ 100,000   It is certain…

Q: A survey of 100 people collects data on how many cups of coffee people drink per day. Based on this…

A: Given: Let number of cups of coffee per day =X X f 1 65 2 12 3 17 4 6 Total 100

Q: The PTO is selling raffle tickets to raise money for classroom supplies. A raffle ticket costs $4.…

A: Given, The PTO is selling raffle tickets to raise money for classroom supplies. A raffle ticket…

Q: A 40-year-old man in the U.S. has a 0.244% risk of dying during the next year . An insurance company…

A: It is given that, Revenue of the insurance company = $300. Cost of the insurance company = $…

Q: The PTO is selling raffle tickets to raise money for classroom supplies. A raffle ticket costs $2.…

A: We know Expected Value is the average gain or loss if the event is occured many times Concept Used:-…

Q: An architect is considering bidding for the design of a new museum. The cost of drawing plans and…

A: We first make a table using the given information Winning amount (xi) 170,000-17,000=153,000…

Contingency Table

A contingency table can be defined as the visual representation of the relationship between two or more categorical variables that can be evaluated and registered. It is a categorical version of the scatterplot, which is used to investigate the linear relationship between two variables. A contingency table is indeed a type of frequency distribution table that displays two variables at the same time.

Binomial Distribution

Binomial is an algebraic expression of the sum or the difference of two terms. Before knowing about binomial distribution, we must know about the binomial theorem.