4.98 Insuring Your Diamonds You can insure a $50,000 diamond for its total value by paying a...

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4.98 Insuring Your Diamonds You can insure a $50,000 diamond for its total value by paying a pre- mium of D dollars. If the probability of theft in a given year is estimated to be 0.01, what premium should the insurance company charge if it wants the expected gain to equal $1000?

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