Section A : Use Mathematics to Investigate and Monitor the Financial Aspects of Personal, Business, National and International Issues Question 1 Paul and Ned, two homeowners, decide to insure their households, each of which has a retail value of R150 000. The probability of a claim in the year is 0,01 for Paul and 0,02 for Ned. The charges for Paul and Ned are R500 per year, each. (a) Give three risk factors for the difference in probability in a claim for Paul and Ned. (3) (b) Calculate the monthly premium of household insurance for Paul. (3) (c) Ned decided to insure his household for R90 000. One year after he took out the insurance, floods damaged his household to the extent of R50 000. i. Calculate the actual claim paid by the insurance company. (3) ii. Calculate the amount Ned had to pay to cover the damage to his household (1) [10]