Common Core: High School - Statistics and Probability - Evaluate and Compare Strategies of Expected Values: CCSS.Math.Content.HSS-MD.B.5b

1

A motorist is attempting to decide between the following two insurance policies:

$\begin{tabular}{|c|c|c|} \hline Policy & Monthly Payment & Deductible \ \hline High Deductible & $ 61 & $ 1000.00 \ \hline Low Decuctible & $ 157 & $ 100.00 \ \hline \end{tabular}$

A deductible is the amount of money that you have to pay out-of-pocket before your insurance company will cover the rest. In other words, if the total cost of an accident is $$25\textup,000.00$ and you have a $$1\textup,000.00$ deductible, then you will pay $$1\textup,000.00$ for the accident and your insurance will cover the remaining $$24\textup,000.00$ .

Consider the following:

$\begin{tabular}{|c|c|c|} \hline Accident & Probability & Average Cost \ \hline Major & 0.02 & $ 23497.00 \ \hline Minor & 0.23 & $ 989.00 \ \hline \end{tabular}$

Given this information which policy can we expect will save the motorist the most money in the following year?

2

A motorist is attempting to decide between the following two insurance policies:

$\begin{tabular}{|c|c|c|} \hline Policy & Monthly Payment & Deductible \ \hline High Deductible & $ 84 & $ 1000.00 \ \hline Low Decuctible & $ 159 & $ 100.00 \ \hline \end{tabular}$

A deductible is the amount of money that you have to pay out-of-pocket before your insurance company will cover the rest. In other words, if the total cost of an accident is $$25\textup,000.00$ and you have a $$1\textup,000.00$ deductible, then you will pay $$1\textup,000.00$ for the accident and your insurance will cover the remaining $$24\textup,000.00$ .

Consider the following:

$\begin{tabular}{|c|c|c|} \hline Accident & Probability & Average Cost \ \hline Major & 0.02 & $ 23497.00 \ \hline Minor & 0.09 & $ 989.00 \ \hline \end{tabular}$

Given this information which policy can we expect will save the motorist the most money in the following year?

3

A motorist is attempting to decide between the following two insurance policies:

$\begin{tabular}{|c|c|c|} \hline Policy & Monthly Payment & Deductible \ \hline High Deductible & $ 103 & $ 1000.00 \ \hline Low Decuctible & $ 158 & $ 100.00 \ \hline \end{tabular}$

A deductible is the amount of money that you have to pay out-of-pocket before your insurance company will cover the rest. In other words, if the total cost of an accident is and you have a deductible, then you will pay for the accident and your insurance will cover the remaining .

Consider the following:

$\begin{tabular}{|c|c|c|} \hline Accident & Probability & Average Cost \ \hline Major & 0.11 & $ 23497.00 \ \hline Minor & 0.23 & $ 989.00 \ \hline \end{tabular}$

Given this information which policy can we expect will save the motorist the most money in the following year?

4

A motorist is attempting to decide between the following two insurance policies:

$\begin{tabular}{|c|c|c|} \hline Policy & Monthly Payment & Deductible \ \hline High Deductible & $ 98 & $ 1000.00 \ \hline Low Decuctible & $ 155 & $ 100.00 \ \hline \end{tabular}$

A deductible is the amount of money that you have to pay out-of-pocket before your insurance company will cover the rest. In other words, if the total cost of an accident is and you have a deductible, then you will pay for the accident and your insurance will cover the remaining .

Consider the following:

$\begin{tabular}{|c|c|c|} \hline Accident & Probability & Average Cost \ \hline Major & 0.2 & $ 23497.00 \ \hline Minor & 0.15 & $ 989.00 \ \hline \end{tabular}$

Given this information which policy can we expect will save the motorist the most money in the following year?

5

A motorist is attempting to decide between the following two insurance policies:

$\begin{tabular}{|c|c|c|} \hline Policy & Monthly Payment & Deductible \ \hline High Deductible & $ 68 & $ 1000.00 \ \hline Low Decuctible & $ 175 & $ 100.00 \ \hline \end{tabular}$

A deductible is the amount of money that you have to pay out-of-pocket before your insurance company will cover the rest. In other words, if the total cost of an accident is and you have a deductible, then you will pay for the accident and your insurance will cover the remaining .

Consider the following:

$\begin{tabular}{|c|c|c|} \hline Accident & Probability & Average Cost \ \hline Major & 0.01 & $ 23497.00 \ \hline Minor & 0.15 & $ 989.00 \ \hline \end{tabular}$

Given this information which policy can we expect will save the motorist the most money in the following year?

6

A motorist is attempting to decide between the following two insurance policies:

$\begin{tabular}{|c|c|c|} \hline Policy & Monthly Payment & Deductible \ \hline High Deductible & $ 59 & $ 1000.00 \ \hline Low Decuctible & $ 179 & $ 100.00 \ \hline \end{tabular}$

A deductible is the amount of money that you have to pay out-of-pocket before your insurance company will cover the rest. In other words, if the total cost of an accident is and you have a deductible, then you will pay for the accident and your insurance will cover the remaining .

Consider the following:

$\begin{tabular}{|c|c|c|} \hline Accident & Probability & Average Cost \ \hline Major & 0.08 & $ 23497.00 \ \hline Minor & 0.11 & $ 989.00 \ \hline \end{tabular}$

Given this information which policy can we expect will save the motorist the most money in the following year?

7

Ernie has three bets to choose from.

Bet 1 will cost him $10, Bet 2 will cost him $15, and Bet 3 will cost him $20.

The payout probabilities are as follows:

$Bet\ 1: P(win\ $0)=.4, P(win\ $10)=.3, P(win\ $20)=.3$

$Bet\ 2: P(win\ $0)=.3, P(win\ $15)=.3, P(win\ $20)=.4$

$Bet\ 3: P(win\ $0)=.2, P(win\ $10)=.3, P(win\ $30)=.5$

Which bet should Ernie pick?

8

A motorist is attempting to decide between the following two insurance policies:

$\begin{tabular}{|c|c|c|} \hline Policy & Monthly Payment & Deductible \ \hline High Deductible & $ 80 & $ 1000.00 \ \hline Low Decuctible & $ 141 & $ 100.00 \ \hline \end{tabular}$

A deductible is the amount of money that you have to pay out-of-pocket before your insurance company will cover the rest. In other words, if the total cost of an accident is and you have a deductible, then you will pay for the accident and your insurance will cover the remaining .

Consider the following:

$\begin{tabular}{|c|c|c|} \hline Accident & Probability & Average Cost \ \hline Major & 0.09 & $ 23497.00 \ \hline Minor & 0.01 & $ 989.00 \ \hline \end{tabular}$

Given this information which policy can we expect will save the motorist the most money in the following year?

9

A motorist is attempting to decide between the following two insurance policies:

$\begin{tabular}{|c|c|c|} \hline Policy & Monthly Payment & Deductible \ \hline High Deductible & $ 69 & $ 1000.00 \ \hline Low Decuctible & $ 156 & $ 100.00 \ \hline \end{tabular}$

A deductible is the amount of money that you have to pay out-of-pocket before your insurance company will cover the rest. In other words, if the total cost of an accident is and you have a deductible, then you will pay for the accident and your insurance will cover the remaining .

Consider the following:

$\begin{tabular}{|c|c|c|} \hline Accident & Probability & Average Cost \ \hline Major & 0.23 & $ 23497.00 \ \hline Minor & 0.11 & $ 989.00 \ \hline \end{tabular}$

Given this information which policy can we expect will save the motorist the most money in the following year?

10

A motorist is attempting to decide between the following two insurance policies:

Screen shot 2016 06 21 at 12.28.23 pm

A deductible is the amount of money that you have to pay out-of-pocket before your insurance company will cover the rest. In other words, if the total cost of an accident is and you have a deductible, then you will pay for the accident and your insurance will cover the remaining .

Consider the following:

Screen shot 2016 06 21 at 12.44.15 pm

Given this information which policy can we expect will save the motorist the most money in the following year?

Evaluate and Compare Strategies of Expected Values: CCSS.Math.Content.HSS-MD.B.5b

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