Question
The annual premium for a $5,000 insurance policy against the theft of a painting is $150. If the (empirical) probability that the painting will be
The annual premium for a $5,000 insurance policy against the theft of a painting is $150. If the (empirical) probability that the painting will be stolen during the year is 0.03, what is your expected return from the insurance company if you take out this insurance?
Let X be the random variable for the amount of money received from the insurance company in the given year.
E(X)=______
dollars
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Introductory Real Analysis
Authors: A N Kolmogorov, S V Fomin, Richard A Silverman
1st Edition
0486134741, 9780486134741
