Suppose a life insurance company sells a

$180,000

one-year term life insurance policy to a

25-year-old

female for

$360.

The probability that the female survives the year is

0.999627.

Compute and interpret the expected value of this policy to the insurance company.

The expected value is $ (Round to two decimal places as needed.) Which of the following interpretation of the expected value is correct? O A. The insurance company expects to make an average profit of $12.54 on every 23-year-old female it insures for 1 month. O B. The insurance company expects to make an average profit of $259.88 on every 23-year-old female it insures for 1 year. O C. The insurance company expects to make an average profit of $23.63 on every 23-year-old female it insures for 1 month. D. The insurance company expects to make an average profit of $137.96 on every 23-year-old female it insures for 1 year