1. Math
2. Statistics And Probability
3. there is a 09989 probability that a randomly selected 33yearold...

# Question: there is a 09989 probability that a randomly selected 33yearold...

###### Question details

There is a 0.9989 probability that a randomly selected 33-year-old male lives through the year. A life insurance company charges ​$145 for insuring that the male will live through the year. If the male does not survive the​ year, the policy pays out ​$100,000 as a death benefit. Complete parts​ (a) through​ (c) below.

a. From the perspective of the 33​-year-old ​male, what are the monetary values corresponding to the two events of surviving the year and not​ surviving?

-The value corresponding to surviving the year is __________

-the value corresponding to not surviving the year is __________

​(Type integers or decimals. Do not​ round.)

b. If the 33​-year-old male purchases the​ policy, what is his expected​ value?The expected value is _______

​(Round to the nearest cent as​ needed.)

c. Can the insurance company expect to make a profit from many such​ policies? Why?

_______ ( yes or no)because the insurance company expects to make an average profit of _______ on every 33-year-old male it insures for 1 year.

​(Round to the nearest cent as​ needed.)