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Use @risk to solve the following: The total number of employees at the start of the year is 1 1 , 1 2 4 .
Use @risk to solve the following:
The total number of employees at the start of the year is The firm expects the number of employees to change each month over the coming year by a percentage that is uniformly distributed between percent and percent. Employees contribute $ each per month toward their health care costs, while the average claim is $ per month. The average claim itself is expected to grow by an amount given by a normal distribution with a mean of percent and a standard deviation of percent.
a What is the expected cost to the company of covering employee health care costs in the coming year?
b What is the maximum cost to the company of covering employee health care costs in the coming year?
c Whatistheprobabilitythatcostswillnotexceed$million?
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