There is a 0.99962 probability that a randomly selected 25-year-old female lives through the year. An insurance company wants to offer her a one-year policy with a death benefit of $800,000. How much should the company charge for this policy if it wants an expected return of $600 from all similar policies? The company should charge $ (Round to the nearest dollar.)
There is a 0.99962 probability that a randomly selected 25-year-old female lives through the year. An insurance company wants to offer her a one-year policy with a death benefit of $800,000. How much should the company charge for this policy if it wants an expected return of $600 from all similar policies? The company should charge $ (Round to the nearest dollar.)
Algebra & Trigonometry with Analytic Geometry
13th Edition
ISBN:9781133382119
Author:Swokowski
Publisher:Swokowski
Chapter10: Sequences, Series, And Probability
Section10.8: Probability
Problem 68E
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