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A car leasing company leases cars to customers for a three-year period. Each year 15% of the vehicles get into accidents. Different accident years are

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A car leasing company leases cars to customers for a three-year period. Each year 15% of the vehicles get into accidents. Different accident years are independent. At the end of the lease, 25% of the customers decide to keep their cars. This decision is made independently of their accident history. The company pays a $1,000 bonus for each car returned that has not been in an accident . i = 10% What is the actuarial present value of the bonus payment at the time the car is leased? a. Less than $250 b. At least $250, but less than $275 c. At least $275, but less than $300 d. At least $300, but less than $325 e. At least $325

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