The value of a home is $50,000, and the homeowner policy covering it contains an 80% coinsurance clause. Assume the home is insured for $30,000 and a $12,000 loss occurs

How much will the insured recover? (Ignore the ACV calculation and assume there is no fraud or other unusual circumstances surrounding the loss.)
A) $12,000
B) $9,000
C) $16,000
D) The answer cannot be determined by the facts given.


B

Business

You might also like to view...

________ states that network connection speeds for high-end users will increase by 50 percent per year.

A. Moore's Law B. Metcalfe's Law C. Kryder's Law D. Bell's Law E. Nielsen's Law

Business

The European Union has adopted a currency known as the:

a. Yuri. b. Common Union. c. Yen. d. Euro.

Business

In the observation method, researchers monitor people's actions.

Answer the following statement true (T) or false (F)

Business

Which of the following is not characteristic of a compensation and reward system designed to help drive successful strategy execution?

A) tying incentives to performance outcomes directly linked to good strategy execution and financial performance B) keeping the time between achieving the target performance outcome and the payment of the reward as short as possible C) making sure the performance targets that each individual or team is expected to achieve involve outcomes that the individual or team can personally affect D) generous rewards for people who turn in outstanding performances E) a reward system that involves 50 percent nonmonetary rewards and a work environment that avoids placing pressure on managers and employees to perform at high levels

Business