Break-A-Leg Insurance Company sells a​ $500,000 insurance policy to thespians for​ self-inflicted lower-body extremity injury. The premium for the policy is​ $150 per year. If the probability that an actor actually breaks their leg and is paid​ $500,000 is​ 0.0001, compute the expected value the insurance company should expect to receive per policy sold.   The insurance company should expect to receive ​$nothing ​(round to 2 decimal​ places)

Q: The chance of an IRS audit for a tax return with over $25,000 in income is about 2% per year. We are…

A:

Q: A car insurance policy costs P7000 per year from an insurance firm. The insurer shall pay P10,000…

A: Policy cost is P 7000.  Accident Pay Probability Minor Accident 10000 0.20 Big accident 50000…

Q: A really bad carton of 30 eggs contains 8 spoiled eggs. An unsuspecting chef picks 5 eggs at random…

A: Given,no.of spoiled eggs=8no.of unspoiled eggs=22Total no.of eggs=30

Q: A blood test indicates the presence of a particular disease 98​% of the time when the disease is…

A:

Q: Suppose that if you got in a collision, your claim amount would be around $25,000. You go to an…

A: Introduction: Denote the random variable X as the amount gained by the insurance company in a…

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: An insurance company sells a $9,000, nine-year term life insurance policy to an individual for $460.…

A: The objective of this question is to calculate the expected return for the insurance company from…

Q: As a fringe benefit, Dennis Taylor receives a $50,000 life insurance policy from his employer. The…

A: Given that  Dennis Taylor receives a $50,000 life insurance policy from his employer. And, the…

Q: A customer pays  $272.45  for 3-year protection plan for their laptop.  If anything happen to the…

A:

Q: 9. The forecast for Monday shows an 80% chance of rain. What is the probability that it will not…

A: Probability

Q: find the probability that the first raw chicken sandwich you get will be on the xth sandwich you…

A:

Q: A survey of families revealed that​  58% of all families eat turkey at holiday meals. ​  44% eat ham…

A: Given data, P(Turkey)=0.58 P(ham)=0.44 P(Turkey and ham)=0.16 P(Turkey or Ham)=?

Q: A 30-year-old woman purchases a $100,000 term life insurance policy for an annual payment of $570.…

A: Given problem Given that   A 30-year-old woman purchases a $100,000 term life insurance policy for…

Q: According to a 2009 Reader's Digest article, people throw away about 7% of what they buy at the…

A: Given: Population proportion (p) = 7%  = 0.07    Sample proportion                  Sample size (n)…

Q: An insurance policy on an electrical device pays a benefit of $4800 if the device fails during the…

A:

Q: You have a 30% chance of getting job A with a salary of $20,000 the first year. It will cost you…

A: Given : Chance of getting job = 0.30   (30%) First year salary = $20,000 expenses = $500

Q: The probability that a 50-year old female will die within 1-year is 0.000829. If an insurance…

A: From the provided information, The probability that a 50-year-old female will die within 1-year =…

Q: A hunter is able to hit the flying bird 40% of the time. If he shoots 8 bullets, what is the…

A: According to the given information, we have A hunter is able to hit the flying bird 40% of the time.…

Q: An insurance company sells a $19,000, eight-year term life insurance policy to an individual for…

A: The amount company has to pay if the individual dies = $19,000The probability the individual will…

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: Maggie is practicing her penalty kicks for her upcoming soccer game. During the practice, she…

A: Sample size, n = 10Probability , p = 65% = 0.65

Q: The price of a stock is $45. The expected annual return on the stock is 15% and the volatility is…

A: From given data we have: Expected annual return = 15% Volatility = 50% The probability that the…

Q: Doctors have indicated that 33% of the US population has A+ blood which is the second most common…

A:

Q: An insurance company sells a $2,000, eight-year term life insurance policy to an individual for…

A: Given that the individual will live for the next eight years is 0.99. So, the probability that the…

Q: The probability of obtaining a raw chicken sandwich at Windies restaurant is 10.4%. Complete the…

A: The probability of obtaining a raw chicken sandwich at Windies restaurant is 10.4%   that is the…

Q: According to a study, airline fatalities occur at the rate of 3.05 fatal accidents per 100 millions…

A: Let X be the number fatal accident Let rate =λ X~Pois(λ=3.05)

Q: Vanessa is interested in purchasing the local coffee shop in a small town in Central California.…

A:

Q: The chance of winning a lottery game is 1 in approximately 22 million. Suppose you buy a​ $1 lottery…

A: P(win game) = 122 Million = 122000000 winning amount = 6 million $ = 6000000 ticket prize $1 P(lose…

Q: If a 60 year-old buys a $1000 life insurance policy at a cost of $70 and has a probability of 0.921…

A: The expectation of the policy until the person reaches 61 is 9 dollarsSo, $9 is equal to 900…

Q: A 38 -year-old woman purchases a $200,000 term life insurance policy for an annual payment of…

A: The given probability that she will survive the year is 0.999052.

Q: A booth at the school carnival prepared 30 grab bags offered for sale for $3.00 a bag. Ten bags…

A:

Q: An earth-conscious clothing store offers a 15% discount if you bring in a bag full of old clothing…

A: From the given information, n=20 and p=0.69.

Q: Suppose a person is looking for a one-year life insurance policy. They decide on a $232994 policy.…

A: Probability of dying =0.0006Probability of not dying = 1-0.0006 =0.9994Net profit to company if…

Q: A courier service makes an average of 500 deliveries a week, plus / minus 50. The manager wants to…

A: Given information: The average of 500 deliveries a week plus/minus 50. That is, mean is 500 and…

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.