In year a, total expected losses are 10,000,000. Individual losses in year a have a Pareto distribution with α = 2 and θ = 2,000. A reinsurer pays the excess of each individual loss over 3,000. For this, the reinsurer is paid a premium equal to 110% of expected covered losses. In year b, losses will experience 5% inflation over year a, but the frequency of losses will not change. Determine the ratio of the premium in year b to the premium in year a.

What is used by accountant to analyze transactions ?

Which of the following statements is not correct? the stock of publicly owned companies must generally be registered with and reported to a regulatory agency such as the sec. when stock in a closely held corporation is offered to the public for the first time, the transaction is called "going public, or an ipo," and the market for such stock is called the new issue or ipo market. "going public" establishes a firm's true intrinsic value and ensures that a liquid market will always exist for the firm's shares. if you wanted to know what rate of return stocks have provided in the past, you could examine data on the dow jones industrial index, the s& p 500 index, or the nasdaq index.

Firms like papa john’s, domino’s, and pizza hut sell pizza and other products that are differentiated in nature. while numerous pizza chains exist in most locations, the differentiated nature of these firms’ products permits them to charge prices above marginal cost. given these observations, is the pizza industry most likely a monopoly, perfectly competitive, monopolistically competitive, or an oligopoly industry?