Acasa insurance company offers several plans for home insurance.

plan a has a $700 yearly premium with a $3,000 deductible.
plan b has a $1,200 yearly premium with a $1,000 deductible.

the average payout by the insurance company for a fire claim is $27,000. suppose 5% of the claims were for fire damage. what would acasa's expected value (loss or gain) be per customer who chooses plan a?

-$25,300
-$1,350
$850
-$500