The cost of car insurance is OR 40 per year. The policy of the company is to stop the insurance of a car when it is involved in the third traffic accident. In each year, a car is involved in at least one traffic accident with probability 0.10. If the driver is involved in one or more accident he pays OR 50. Find the expected cost paid by driver until the company stops his insurance. Select one: O a. 270 Ob. 1350 O c. 108 O d. 90

MATLAB: An Introduction with Applications
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Author:Amos Gilat
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The cost of car insurance is OR 40 per year. The policy of the company is to stop the insurance of a car when it
is involved in the third traffic accident. In each year, a car is involved in at least one traffic accident with
probability 0.10. If the driver is involved in one or more accident he pays OR 50. Find the expected cost paid
by driver until the company stops his insurance.
Select one:
O a.
270
O b. 1350
O c. 108
d. 90
Transcribed Image Text:The cost of car insurance is OR 40 per year. The policy of the company is to stop the insurance of a car when it is involved in the third traffic accident. In each year, a car is involved in at least one traffic accident with probability 0.10. If the driver is involved in one or more accident he pays OR 50. Find the expected cost paid by driver until the company stops his insurance. Select one: O a. 270 O b. 1350 O c. 108 d. 90
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