The senior staff underwriter at ABC Commercial Insurance is completing a cost-benefit analysis of a new proposed product offering. She estimates that the total sales for the first year will be 2,000 policies at an average premium of $1,000. She estimates the loss ratio for the first year will be 0.75 or 75 percent. Based on these estimates, the financial benefit of the new product to ABC in the first year will be

Group of answer choices

$1,000,000.

$500,000.

$1,500,000.

$2,000,000.