19.1011121314A contractor is considering a sale that promises a profit of $26,000 with a probability of 0.6 or a loss (due to bad weather, strikes, and such) of $17,000 with aprobability of 0.4. What is the expected profit?dlo$22,400O $20,600O $8800Submit AssignmentContinue02022 McGraw Hill LLC. AllRights Reserved. Terms of Use | Privacy Center| AccessibilityMacBook AirDIIDD8088810F11F7F8F9escF3F4FSF6F2

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Answered: 3. A contractor is considering a sale…

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

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An insurance company has written 50 policies for $125,000, 100 policies for $30,000, and 250 policies for $10,000 for people of age 20. If experience shows that the probability that a person will die at age 20 is 0.0012, how much can the company expect to pay out during the year the policies were written?
A contractor is considering a sale that promises a profit of $26,000 with a probability of 0.7 or a loss (due to bad weather, strikes, and such) of $8,000 with a probability of 0.3. What is the expected profit?
A contractor is considering a sale that promises a profit $26000 with a probability of 0.7 (due to bad weather,strikes and such) of $6000 with a probability of 0.3. what is the expected profit?
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Suppose best buy offers an extended warranty for $25 on an electronic device whose value is $250. Suppose best buy estimates the probability the item will be returned for a claim on that warranty is 5%. Assume that if an item is returned, best buy will refund the $250 purchase price. What is best buys expected value on the warranty?
Suppose a life insurance company sells a $230,000 one-year term life insurance policy to a 20-year-old female for $370.The probability that the female survives the year is 0.999464. Compute and interpret the expected value of this policy to the insurance company.
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Suppose a life insurance company sells a $230,000 one-year term life insurance policy to a 20-year-old female for$240. The probability that the female survives the year is 0.999463. Compute and interpret the expected value of this policy to the insurance company.
Brandybuck Insurance Company (BIC) is deciding whether to insure the lives of those leading a quest to Moria. Based on past experience, the probability of surviving such a quest is 88.9%. If BIC charges a premium of 8,240 silver coins and would pay a death benefit of 56,881 silver coins if the insured were to die, what is the expected value of this insurance policy to BIC? Round to the nearest silver coin as needed. If the expected value is a loss to BIC, enter your answer as a negative number. Phil Dunphy, a real estate agent, is considering whether he should list an unusual $303,402 house for sale. If he lists it, he will need to spend $3,848 in advertising, staging, and fresh cookies. The current owner has given Phil 6 months to sell the house. If he sells it, he will receive a commission of $23,557. If he is unable to sell the house, he will lose the listing and his expenses. Phil estimates the probability of selling this house in 6 months to be 73%. What is the expected…
Suppose a life insurance company sells a $280,000 one-year term life insurance policy to a 24-year-old female for $180. The probability that the female survives the year is 0.999522. Compute and interpret the expected value of this policy to the insurance company.
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3. A contractor is considering a sale that promises a profit of $26,000 with a probability of 0.6 or a loss (due to bad weather, strikes, and such) of $17,000 with a alb probability of 0.4. What is the expected profit? $22,400 O $20,600 O $8800