Question: 6. Suppose Sam and Jack each separately faces the same exact loss distribution, as follows: Possible Outcomes PROBABILITY $0 0.9 $1,000 0.1 1) Measure Sam

 6. Suppose Sam and Jack each separately faces the same exact

6. Suppose Sam and Jack each separately faces the same exact loss distribution, as follows: Possible Outcomes PROBABILITY $0 0.9 $1,000 0.1 1) Measure Sam or Jack's expected losses and standard deviation. 2) Suppose Sam and Jack pool together so that each pays half whenever the other one experiences a loss: (a) What happens to the likelihood of $0 total loss? (b) What happens to the likelihood of $1,000 total loss? (c) What happens to the likelihood of $2,000 total loss? (d) What's the expected loss per person? What's the standard deviation per person

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