Waec Model Questions Vol1 2019 Geography Question 3

A region is exposed to two environmental hazards: flooding and landslides. - Flooding: original annual probability = 0.12, average economic loss per event = ₦150 million. - Landslides: original annual probability = 0.08, average economic loss per event = ₦200 million. Mitigation measures are introduced: - Flood mitigation reduces the flood probability by 30%. - Landslide mitigation reduces the landslide probability by 20% **and** reduces the average loss per landslide by 25%. Assuming the two hazards occur independently, calculate: 1. The expected annual economic loss after both mitigations are applied. 2. The probability that at least one of the two hazards occurs in a given year after mitigation. Provide the expected loss in millions of naira and the probability as a decimal (rounded to three decimal places).