JKL Insurance Company reported the following information on its ...

[Melani1276]

JKL Insurance Company reported the following information on its accounting statements last year:
 
  Premiums Written 90,000,000
   Loss Adjustment Expenses 5,000,000
   Underwriting Expenses 30,000,000
   Premiums Earned 100,000,000
   Incurred Losses 70,000,000
  What was JKL's loss ratio last year?
  A) 70.0 percent
  B) 75.0 percent
  C) 83.3 percent
  D) 90.0 percent

Question 2

Which of the following items would appear in the income section of an insurance company's income and expense statement?
 
  A) underwriting expense
  B) bonds
  C) loss reserves
  D) premiums

[DylanD1323]

Answer to Question 1

Answer: B

Answer to Question 2

Answer: D