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Oxnard Petro Limited is buying hurricane insurance for its off-coast oil drilling platform. During the next five years, the probability of total loss of only
Oxnard Petro Limited is buying hurricane insurance for its off-coast oil drilling platform. During the next five years, the probability of total loss of only the above-water superstructure ($390 million) is .40, the probability of total loss of the facility ($890 million) is .40, and the probability of no loss is .20. Find the expected loss
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