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An insurance company's projected loss ratio is 80.1 percent, and its loss adjustment expense ratio is 12.8 percent. It estimates that commission payments and dividends
An insurance company's projected loss ratio is 80.1 percent, and its loss adjustment expense ratio is 12.8 percent. It estimates that commission payments and dividends to policyholders will add another 15 percent. What is the minimum yield on investments required in order to maintain a positive operating ratio?
A.8.7%
B.11.2%
C.7.9%
D.6.9%
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