Question: They model aggregate losses using a Pareto distribution with shape parameter is 7.766085731 and scale parameter is 1411096.964. Calculate the cost of reinsuring losses above

They model aggregate losses using a Pareto distribution with shape parameter is 7.766085731 and scale parameter is 1411096.964. Calculate the cost of reinsuring losses above $2,000,000, if there is a 35% loading on the reinsurance premium

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