A life insurance company sells a $250,000 1-year term life insurance policy to a 20-year-old female for

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A life insurance company sells a $250,000 1-year term life insurance policy to a 20-year-old female for $200. According to the National Vital Statistics Report, 58(21), the probability that the female survives the year is 0.999544.
Compute and interpret the expected value of this policy to the insurance company.
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Fundamentals Of Statistics

ISBN: 9780321844606

4th Edition

Authors: Michael Sullivan III

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