Question: There is a 0.99967 probability that a randomly selected 23-year-old female lives through the year. An insurance company wants to offer her a one-year policy

There is a

0.99967

probability that a randomly selected

23-year-old

female lives through the year. An insurance company wants to offer her a one-year policy with a death benefit of

$1,000,000.

How much should the company charge for this policy if it wants an expected return of

$400

from all similar policies?

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