Lisa has three fire insurance policies on her office building. The policy from company A is for $400,000, and the policies from companies B and C are for $100,000 each
If Lisa has a $360,000 loss, how much of the loss will be covered by each policy if the loss is settled on a pro rata basis by the insurers?
A) each policy: $120,000
B) policy A: $160,000; policies B and C: $100,000 each
C) policy A: $240,000; policies B and C: $60,000 each
D) policy A: $360,000; policies B and C: nothing
Answer: C
You might also like to view...
Interest calculated on the original principal regardless of the number of time periods that have passed or the amount of interest that has been paid or accrued in the past is
A) compound interest. B) simple interest. C) present value of future cash flows. D) future value of a single sum.
You are the owner of a small catering company and have recently hired a skilled baker to complement your staff. When business is slow, however, you need the baker to help prepare other kinds of foods. Some of the processes (like deboning fish and preparing soup stock) are complicated and require detailed training. What style should you use under these circumstances?
A. Style 1 B. Style 2 C. Style 3 D. Style 4
Which of the following has lost population in the past two decades?
A) California B) Florida C) the Western states D) the Northeast states E) the Southern states
A budget that is prepared by adding a new budget month as each month expires is referred to as a(n) ______________________________
Fill in the blank(s) with correct word