Question regarding the discounted expected claim cost

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An insurer sells a policy today for which the expected end-of-year claim cost is $200. It can invest the policy proceeds at a rate of 7 percent per year. What is the discounted expected claim cost?

Reference no: EM131082644

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Question regarding the discounted expected claim cost : An insurer sells a policy today for which the expected end-of-year claim cost is $200. It can invest the policy proceeds at a rate of 7 percent per year. What is the discounted expected claim cost?
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