2. For the following statments choose true or false.

e) Natural gas demand and winter temperatures in Minnesota is most likely negatively correlated.

f) The expected loss per exposure is the expected severity per exposure times the expected severity per occurrence.

g) The amount of risk that can be reduced through pooling arrangements increases as the number of participants increases, all other factors equal.

h) Insurance distribution costs may include advertising and marketing expenses.

i) "Surplus notes" are similar to stocks but the repayment of dividends usually must be approved by the state insurance regulators.