Find the expected value.An insurance company will insure a $260,000 home for its total value for an annual premium of $560. 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 company's expected annual gain (or profit) on each such policy?

A. $300
B. $270
C. -$260
D. $220


Answer: B

Mathematics

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