Question: Exercise 4.3 There is a 1% chance that you will have healthcare bills of $100,000, a 19% chance that you will have healthcare bills of

Exercise 4.3

There is a 1% chance that you will have healthcare bills of $100,000, a 19% chance that you will have healthcare bills of $500, and a 60% chance that you will have healthcare bills of $500, and a 20% chance that you will have healthcare bills of $0, What is the expected healthcare spending?

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