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Posted: December 20th, 2021
Suppose a life insurance company sells a $270,000
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Question
Suppose a life insurance company sells a $270,000 one-year term life insurance policy to a 22-year-old female for $310. The probability that the female survives the year is 0.999458. Compute and interpret the expected value of this policy to the insurance company.
The expected value is $ (Round to two decimal places asneeded.)
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