A28-yearoldmanpays$199 for a one-year life insurance If the probability that he
ID: 3050673 • Letter: A
Question
A28-yearoldmanpays$199 for a one-year life insurance If the probability that he will live through the year is 0.9994, what is . policy with coverage of $50,000 his expected value? In a certain college, 33% ofall physics majors belong to ethnic minorities. Ir 10 students are selected at random from all physics majors, what is the probability that at most 2 belong to an ethnic minority? to 3 decimals , A quiz consists of 10 true false questions. To pass the quiz a student must answer at least 7 questions correct! If a student guesses on each question, what is the probability that the student will pass the quiz? A survey of brand recognition is done and it is determined that 68% of consumers have heard of the"DULL COMPUTER COMPANY". A survey of 800 randomly selected consumers is to be conducted. For such groups of 800, would it be unusual to get 627 consumers who recognize the "DULL'" name? Explain your anExplanation / Answer
Q 14
The amount paid to company = -199
Probability of survival = 0.9994
and the probability that he dies = 1-0.9994 = 0.0006
And the amount is =50000-199 =49801
The expected value of insurance is = -199*0.9994+49801*0.0006 = -169$
Answer: -$169