Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
A large, well-established home insurance company writes insurance policies to cover losses from fire, theft, and vandalism. In a recent financial review, managers discovered that company performance was lagging behind projections. They examined pricing and claims history in more detail and identified a group of about 10,000 customers whose claims far exceeded the collected premiums. Members of the actuarial group, whose compensation was partially tied to profitability of the policies they priced, were particularly frustrated. How would you recommend the insurer address this problem?
Before continuing, first answer the following 3 questions to diagnose and solve the problem. Then, please elaborate in your answer to the question above.
1) Who is making the bad decision?
2) Do the actuaries have enough information to make a good decision?
3) Do the actuaries have the incentive to make a good decision?
Calculate and draw growth curves over 10 years. Let L = 1000 and the numbers for years 1 and 2 be 5 and 50, respectively.
The Hilltop Coffee Company is a perfectly competitive firm producing where MR = MC. The current market price of a tall café latte is $5.00. Hilltop sells 200 tall café lattes. Its AVC for coffee lattes is $8.00 and its AFC is $3.00. What should Hillt..
Gasoline prices typically rise during the summer, a time of heavy tourist traffic. A “street talk” feature on a radio station sought tourist reaction to higher gasoline prices. Here was one response: “I don’t like ’em [the higher prices] much. I thin..
Please, list the different technology eras. Which would be our current era? How these eras are affecting the labor market? What is the internet of things?
Look up the current GNP, Prices, and employment numbers from the government agencies and determinant what stage of the business cycle we are in today and list t
Suppose that people expect inflation to equal 3 percent, but in fact, prices rise by 5 percent. Describe how this unexpectedly high inflation rate would help or hurt the following:
What is the approximate YTM on a 12-year semiannual coupon bond with a $1,000 par value and an annual coupon rate of 6% that is selling for $950? What type of bond is this? Without doing any calculations, can you rule out a range of yields? What is t..
Explain how the method used to determine the profit- maximizing level of output in product markets (i.e., MR = MC) can be applied to the labor market to determine the most profitable number of employees a firm should hire. Can you restate the equatio..
Consider a hypothetical market for bottled water where the market demand and market supply equations are:
q1. firm abc measured its mp of labor curve to be the followingmp 4000 - 2l where l is the number of hours of labor
Describe the cost function and explain the difference between a short-run and a long-run cost function. Describe the elements of a cost schedule which can be derived total, fixed, and variable costs. Compare and contrast the short-run cost function a..
Every 4 years after the initial constructions, brush clearing will cost $12,000. Over the structure's 60-year life at i = 8%, what is the EAC.
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd