Suppose a life insurance company sells a $260,000 one-year term life insurance policy to a 19-year-old female for $200. The probability that the female survives the year is 0.999637. Compute and interpret the expected value of this policy to the insurance company. The expected value is $

A company estimates that 0.7% of their products will fail after the original warranty period but within 2 years of the purchase, with a replacement cost of $400. If they offer a 2 year extended warranty for $27, what is the company's expected value of each warranty sold?

Suppose there is a 0.9850 probability that you willnot lose your iPhone before the end of the year. Ifyou lose the phone, however, your insurance policywill pay you $500 to replace it. They don’t pay youanything if you don’t lose the phone. If the policycost you a one-time fee of $30, what is yourexpected value? What is the expected value fromthe insurance company’s perspective?

A card is drawn from a standard 52 card deck. Calculate the expected value for the game. A player must pay $11 to play the game, which must be subtracted from the winnings. If a diamond is drawn, The player wins $22, otherwise, they lose their $11. Calculate the price that would make the game fair