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Sam has a laptop worth $2,000. Sam is afraid of losing his laptop as a result of theft. He is considering deductible insurance with with
Sam has a laptop worth $2,000. Sam is afraid of losing his laptop as a result of theft. He is considering deductible insurance with with a face amount = $2000, deductible = $100 premium = $120. The probability of theft is known to be 5%. Fill in the loss matrix from Sam's perspective. Make sure you show loss in the top row and out- costs in the bottom row in each cell of the loss matrix. [4 Points] No Loss Loss 1 Deductible Insurance Sam has a laptop worth $2,000. Sam is afraid of losing his laptop as a result of theft. He is considering deductible insurance with with a face amount = $2000, deductible = $100 premium = $120. The probability of theft is known to be 5%. Fill in the loss matrix from Sam's perspective. Make sure you show loss in the top row and out- costs in the bottom row in each cell of the loss matrix. [4 Points] No Loss Loss 1 Deductible Insurance
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