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

Question
Answer:
It's $94,000
 
1,000 X 100 X 4 = 400,000

solved
general 4 months ago 3548