An insurance company sells a $2,000, eight-year term life insurance policy to an individual for $220. Find the expected return for the company if the probability the individual will live for the next eight years is 0.99. (Round your answer to the nearest cent.)
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.
An insurance company sells a $2,000, eight-year term life insurance policy to an individual for $220. Find the expected return for the company if the
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
