Sammy used his past health history and information about his doctor visits to create this table to compare health costs with and without insurance.

Description of Service Probability of Needing the Service Cost with Insurance Plan Cost Without Insurance Plan
annual premium 100% $1,580 $0
single doctor visit 30% $25 $350
two doctor visits 18% $50 $700
medication 6% $24 $75
What is the expected value of each option?

The expected value of health care without insurance is $
.
The expected value of health care with insurance is $
.

If you want to compare two different investments, what should you calculate

On june 1, 2017, blossom company was started with an initial investment in the company of $22,360 cash. here are the assets, liabilities, and common stock of the company at june 30, 2017, and the revenues and expenses for the month of june, its first month of operations: cash $4,960 notes payable $12,720 accounts receivable 4,340 accounts payable 840 service revenue 7,860 supplies expense 1,100 supplies 2,300 maintenance and repairs expense 700 advertising expense 400 utilities expense 200 equipment 26,360 salaries and wages expense 1,760 common stock 22,360 in june, the company issued no additional stock but paid dividends of $1,660. prepare an income statement for the month of june.

The management of a supermarket wants to adopt a new promotional policy of giving a free gift to every customer who spends > a certain amount per visit at this supermarket. the expectation of the management is that after this promotional policy is advertised, the expenditures for all customers at this supermarket will be normally distributed with a mean of $95 and a standard deviation of $20. if the management wants to give free gifts to at most 10% of the customers, what should the amount be above which a customer would receive a free gift?