1) Suppose losses can be 100, 200, 300, or 400, with respective probabilities 0.2, 0.3, 0.3 and 0.2. An unlimited insurance policy has an ordinary deductible of 275 per loss. Find V(Y ). Hint: the values that YP can take are 25 and 125. Find the (conditional) probabilities and the variance of this two point distribution