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Solve the Problem. -A 28-Year-Old Man Pays $57 for a One-Year Life Insurance

Question 46

Multiple Choice

Solve the problem.
-A 28-year-old man pays $57 for a one-year life insurance policy with coverage of $100,000. If the probability that he will live through the year is 0.9992, what is the expected value for the insurance policy?


A) -$56.95
B) $99,920.00
C) $23.00
D) $80.00

Correct Answer:

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