P(a 40 year old survives the year)=0.999375 Life insurance policy $125,000 Annual Premium $175 What is the expected value of this policy to the insurance company? (round final answer to two decimal places)
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The probability that the 40-year-old survives the year is 0.999375. Therefore, the probability that the person does not survive the year is 1 - 0.999375 = 0.000625. Show more…
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