Solve the problem.An insurance company will insure a $240,000 home for its total value for an annual premium of $580. 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. $340
B. $260
C. $310
D. -$240


Answer: C

Mathematics

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