James moved to a new house so he rented his old home to Mr. Parker for...

James moved to a new house so he rented his old home to Mr. Parker for two years. Later the old house caught fire and had a $100,000 loss. The old house was valued at $400,000 and James had a $300,000 homeowner's insurance policy with an 80% coinsurance. How much will insurance company pay for his loss?

Solutions

Expert Solution

The company will pay its share of the actual loss since the loss is lesser than the value of the house and the policy amount.

Hence amount paid by Insurance company = 80%*100,000

= $80,000

jeff jeffy answered 1 year ago

Next > < Previous

Related Solutions

James and Karen have just moved into a new home. Their homeowners insurance policy is $630...

James and Karen have just moved into a new home. Their homeowners insurance policy is $630 each year. Their insurance companys is offering a 7 percent discount if they install dead-bolt locks on all exterior doors. the couple can also receive a 5 percent discount if they install a smoke detector on each floor. They have contacted a local locksmith, who will provide and install dead-blot locks on two exterior doors for $71 each. At the hardware store, smoke detectors...

James and Karen have just moved into a new home their homeowner's insurance policy is $570...

James and Karen have just moved into a new home their homeowner's insurance policy is $570 each year their insurance company is offering a 10% discount if they installed dealt bolt logs on all exterior doors the couple could also receive a 5% discount if they install smoke detectors on each floor they have contacted a local locksmith who will provide and install dead bolt locks on the 2 exterior doors for $69 each. At the hardware stores smock detectors...

Al Bank is worried about financing his new home. The house sells for $190,000. If he...

Al Bank is worried about financing his new home. The house sells for $190,000. If he puts down 20%, what will Al's payment be at the following rates? (Round answers to nearest cent) A. Monthly Payment for 25 years at 10% ? Total Cost of Interest for 25 years at 10% ? B. Monthly Payment for 25 years at 10 1/2% ? Total Cost of Interest for 25 years at 10 1/2% ? C. Monthly Payment for 25 years at...

Billy rented his vacation home during the year for three monts and he spent one month...

Billy rented his vacation home during the year for three monts and he spent one month there (assume 30 day months). Gross rental income from the property was $6,500. Billy incurred the following expenses: Mortgage interest $3,000; real estate taxes $1,500; utilitities $600; repairs $1,800; depreciation $4,000 Assume you are a tax accountant and calculate for Billy what he needs to report on his tax return. Please show your entire calculation

James wants to buy a house worth $1,000,000. To do so, he takes out a mortgage...

James wants to buy a house worth $1,000,000. To do so, he takes out a mortgage loan equal to the price of the house. The mortgage has to be repaid after 15 years and make monthly payments with an APR of 10%. Given this information, answer the following (a) 5 points. Draw the timeline that describes all cash flows (paid and received) throughout the duration of the loan. On the timeline, you must also indicate what is the last period/payment!...

Juan: 18-year-old teenager, who started university this year so he moved to the capital. He does...

Juan: 18-year-old teenager, who started university this year so he moved to the capital. He does not know how to cook, so he eats away from home. He does not do physical activity, he only does academic activities. Weight: 135 kg Size: 1.90 mt apply nutritional assessment, nutritional diagnosis, nutritional intervention, and nutritional vigilance

Mr Sultan al Hadrami is planning to construct his own house. He is planning to construct...

Mr Sultan al Hadrami is planning to construct his own house. He is planning to construct the house in a phased manner. At present he is working with Oman Air and is earning salary RO 12000 every year . The Cost of Construction of the house is RO 50,000 if the construction is completed in one year. However if the construction is done in parts, the cost of contrition will increase and may go up to 60000 if completed in...

Mr. Rashid plans to purchase the electronics itemsbased on his budget. So he needs a...

Mr. Rashid plans to purchase the electronics items based on his budget. So he needs a purchase planner which will help to calculate the price of electronics items, he can purchase based on the available amount. If Mr. Rashid enters his budget amount and chooses the numbers of electronic items from the list of available electronic items, the purchase planner will calculate the cost of electronics items based on the number of items selected, the total cost of all the...

Mr Kaur started a software business. He decided to incorporate. He did so, calling his company...

Mr Kaur started a software business. He decided to incorporate. He did so, calling his company Kaur and Sons Pty Ltd. Mr Kaur sold the assets and goodwill of his software business to Kaur and Sons Pty Ltd for $30,000. Rather than the company paying him $20,000 in cash, the company issued 20,000 shares worth $1.00 each to Mr Kaur. At the time of the sale, the company still owes $10,000 to Mr Kaur. This debt relates to $10,000 of...

James is 5 years old and was diagnosed with new onset of tonic–clonic seizures. He will...

James is 5 years old and was diagnosed with new onset of tonic–clonic seizures. He will be sent home on Dilantin 240 mg PO b.i.d and Diastat 10 mg PR (rectal Valium) for breakthrough seizures. a. What are the priority teaching needs for James and his parents? b. How does Dilantin prevent seizures, and why is it a good choice for James? c. What is Diastat (rectal Valium) and how should it be given?

Subjects