Dan picked up his friend Rodney to drive to their softball game. ...

[audragclark]

Dan picked up his friend Rodney to drive to their softball game. Both Dan and Rodney have a Personal Auto Policy (PAP) with 5,000 of medical payments coverage.
 
  Dan hit a parked car, and Rodney was injured, incurring 9,000 of medical expenses. How will this claim be settled under the other insurance provision of the PAP?
  A) Both insurers will pay 4,500.
  B) Dan's insurer will pay 5,000 and Rodney's insurer will pay 4,000.
  C) Dan's insurer will pay 4,000 and Rodney's insurer will pay 5,000.
  D) Dan's insurer will pay 3,000, Rodney's insurer will pay 3,000, and Rodney must pay 3,000 out of his own pocket.

Question 2

Assume that an investment is forecasted to produce the following returns: a 10 probability of a
  1,400 return; a 50 probability of a 6,600 return; and a 40 probability of a 1,500 return.
 
  What is
  the expected amount of return this investment will produce?
  A) 7,640 B) 4,040 C) 12140 D) 1,540

[kishoreddi]

Answer to Question 1

Answer: B

Answer to Question 2

B

[audragclark]

Thank you

[kishoreddi]

Happy to help you