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does anyone can help me comprehend this slide ? Risk Pooling Example with 2 People Two people with same distribution Probability 0.05 Outcome $10,000 Loss

does anyone can help me comprehend this slide ?

Risk Pooling Example with 2 People Two people with same distribution Probability 0.05 Outcome $10,000 Loss = $0 0.95 - Assume losses are uncorrelated Expected value = 500 Standard deviation =2179.45

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