Suppose that a life insurance company insures 1,200,000 fifty-year-old people in a given year. (Assume a deat rate of 8 per 1000 people.) The cost of the premium is $100 per year, and the death benefit is $40,000. What is expected profit or loss for the insurance company? The insurance company can expect a(n) $ million profit. (Type an integer or decimal rounded to one decimal place as needed.)
Suppose that a life insurance company insures 1,200,000 fifty-year-old people in a given year. (Assume a deat rate of 8 per 1000 people.) The cost of the premium is $100 per year, and the death benefit is $40,000. What is expected profit or loss for the insurance company? The insurance company can expect a(n) $ million profit. (Type an integer or decimal rounded to one decimal place as needed.)
Algebra and Trigonometry (6th Edition)
6th Edition
ISBN:9780134463216
Author:Robert F. Blitzer
Publisher:Robert F. Blitzer
ChapterP: Prerequisites: Fundamental Concepts Of Algebra
Section: Chapter Questions
Problem 1MCCP: In Exercises 1-25, simplify the given expression or perform the indicated operation (and simplify,...
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Question
![Suppose that a life insurance company insures 1,200,000 fifty-year-old people in a given year. (Assume a deat
rate of 8 per 1000 people.) The cost of the premium is $100 per year, and the death benefit is $40,000. What is
expected profit or loss for the insurance company?
The insurance company can expect a(n) $
million profit.
(Type an integer or decimal rounded to one decimal place as needed.)](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F05e0a145-e65d-4d95-abc4-eb6fe917c3fd%2F478d3d25-6cbe-41a7-bdcf-e8431b04a95b%2Fjyzexsh_processed.png&w=3840&q=75)
Transcribed Image Text:Suppose that a life insurance company insures 1,200,000 fifty-year-old people in a given year. (Assume a deat
rate of 8 per 1000 people.) The cost of the premium is $100 per year, and the death benefit is $40,000. What is
expected profit or loss for the insurance company?
The insurance company can expect a(n) $
million profit.
(Type an integer or decimal rounded to one decimal place as needed.)
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