Solve the Problem. -An Insurance Company Will Insure a $240,000 Home for Its

question 231

Multiple Choice

Solve the problem.
-An insurance company will insure a $240,000 home for its total value for an annual premium of $580. If the company spends $30 per year to service such a policy, the probability of total loss for Such a home in a given year is 0.001 and you assume either total loss or no loss will occur, what is The companyʹs expected annual gain (or profit) on each such policy?

• A) $310
• B) $340
• C) $260
• D) -$240

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Definitions:

Feminization of Poverty

The feminization of poverty refers to the phenomenon where women represent a disproportionate percentage of the world's poor, often attributed to wage disparity, unemployment, and the burden of single parenthood.

Poverty

A condition where individuals or groups lack the financial resources to meet basic living needs, such as food, housing, and healthcare.

First Nations Children

The young members of the First Nations, the various Aboriginal peoples in Canada who are neither Inuit nor Métis, often focusing on their rights, well-being, and cultural heritage.

Proletariat

The workers.