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An insurer sells a policy today for which the expected end-of-year claim cost is $200. It can invest the policy proceeds at a rate of

An insurer sells a policy today for which the expected end-of-year claim cost is $200. It can invest the policy proceeds at a rate of 7% this year. If underwriting expenses are $60, loss adjustment expenses are 15% of claims and the fair profit loading is $25, what is the fair premium for this policy?

Group of answer choices

$113

$275

$264

$300

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