An insurance company offers a $50,000 life insurance policy to people age 30 for $200. The offer the same policy to 50 year olds for $300. If the probability a 30 year olds dies within one year is 0.0018, and the probability of someone 50 years of age is 0.0049 explain which policies the insurance company will make the largest profit.

An insurance company offers a $50,000 life insurance policy to people age 30 for $200. The offer the same policy to 50 year olds for $300. If the probability a 30 year olds dies within one year is 0.0018, and the probability of someone 50 years of age is 0.0049 explain which policies the insurance company will make the largest profit.

Holt Mcdougal Larson Pre-algebra: Student Edition 2012

1st Edition

ISBN:9780547587776

Author:HOLT MCDOUGAL

Publisher:HOLT MCDOUGAL

Chapter11: Data Analysis And Probability

Section: Chapter Questions

Problem 15CR

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