Author Question: The Jordan Appliance Company has two buildings. Building A is valued at 95,00 . and is covered by a ... (Read 54 times)

DyllonKazuo · **on:** Jun 24, 2018

The Jordan Appliance Company has two buildings. Building A is valued at 95,00 . and is covered by a 60,00 . insurance policy with an 80 coinsurance clause. Building B is also valued at 95,00 . and is covered by a 50,00 . insurance policy with a 75 coinsurance clause. Both buildings burned to the ground. Compute the amount of insurance money Jordan Appliance Company collected altogether for fire damages.

Question 2

The Green Company building was valued at 220,000 . The building was insured for 100,00 . at a premium rate of 5.60 per thousand. The policy contained an 80 coinsurance clause. A small fire caused damages costing 35,200 to repair. Later in the year, another fire caused damages costing 105,600 to repair. How much more did the insurance company pay for repairs for fire damage for Green Company during the year than it earned in premiums from the Green Company for the year?