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A famous artist wishes to insure his dog for half a million pesos. The insurance company estimates that a total loss will occur with probability

A famous artist wishes to insure his dog for half a million pesos. The insurance company estimates that a total loss will occur with probability of 0.003, a 50% loss withprobability of 0.02, and 25% loss with probability 0.1.What premium should the insurance company charge each year to realize an average profit of 25, 000?

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