Brian wants to buy a motorcycle and is planning to get motorcycle insurance. suppose the average accident rate is 0.1, and the average expenses incurred on accidents is $38,000. the insurance plan has a yearly premium of $1,000 and a deductible of $4,000. if after 4 years of insuring 100 people, 9 motorcycle drivers had an accident, where does the company stand after money has been taken in and paid out for this group of 100 insured people? $85,500 -$36,000 $94,000 $58,000

The correct option is $94,000

Step-by-step explanation:

Yearly premium under the insurance plan = $1,000

Total premium from single motorcycle driver in 4 years = $1,000 * 4 = $4,000

Number of people insured = 100

Total premium collected from 100 motorcycle drivers = $4,000 * 100 = $400,000

Average expenses incurred on accident = $38,000

Deductible = $4,000

Net expenses incurred per accident = $38,000 - $4,000 = $34,000

In 4 years , 9 motorcycle drivers had an accident

Total expenses incurred for accident = $34,000 * 9 = $306,000

Net savings of Insurance Company = total premium - total expenses = $400,000 - $306,000 = $94,000

Hope it helps.

Thank you !!

$8

step-by-step explanation:

it is pretty much backwards.

you take the 4x2 multiply that, and that is = $8

f(x) = - 2/3x + 5; f(5/2)

substitute 5/2 in for x:

f(5/2) = -2/3(5/2) + 5

simplify the right side:

f(5/2) = -5/3 + 5

f(5/2) = 10/3

answer:

f(5/2) = 10/3

i hope this you!