Question

In: Accounting

While attending classes at college, Chuck parks his car on the street and locks it.

While attending classes at college, Chuck parks his car on the street and locks it. When he returns, it is gone. He reports its loss to his insurer and notifies the police immediately. Because he must commute to school and to work, he rents a car for $180 per week, or $28 per day for any part of a week. Twenty-three days after his car disappeared, it is recovered. It has been driven over 12,000 miles, its right rear fender has been destroyed in an accident, and the interior has been vandalized. The low estimate for repair of the exterior and interior damage is $23,000. The actual cash value of his car is $16,000. Chuck has a PAP with other-than-collision coverage and a $200 deductible. Explain Chuck’s coverage to him, noting what he can expect to recover from her insurer, and why.

Solutions

Expert Solution

ANSWER

The maximum cash value of car is $ 16,000 which Chuck can claim, Also Chuck would be able to claim the rent of 23 days from the insurer.

3 full weeks = 180 * 3 = $540 and for 2 days extra = 28 * 2 = 56

= $540+$56

= $596 car rental

As the collision is not covered he wont be getting the claim for right fender which has been destroyed.

So he would be getting $16,000 - the damages on the right fender - 200 which is deductible + 596 which is car rental charges borne by Chuck.


Related Solutions

WRITE THE ESSAY CAUSE AND/OR EFFECTS OF: HOLDING A JOB WHILE ATTENDING COLLEGE
WRITE THE ESSAY CAUSE AND/OR EFFECTS OF: HOLDING A JOB WHILE ATTENDING COLLEGE
A report claims that 46​% of​ full-time college students are employed while attending college. A recent...
A report claims that 46​% of​ full-time college students are employed while attending college. A recent survey of 60 ​full-time students at a state university found that 28 were employed. Use the​ five-step p-value approach to hypothesis testing and a 0.05 level of significance to determine whether the proportion of​ full-time students at this state university is different from the national norm of 0.46. find the t statistic find the p value find the critical value
College students are increasingly working while attending school. A study was conducted to determine if there...
College students are increasingly working while attending school. A study was conducted to determine if there is a significant difference in earnings of male college students and female college students during the eight months of the academic year. A sample of 800 male students earned an average of $5,995 with a standard deviation of $2,500. A sample of 700 working female students earned an average of $5,480 with a standard deviation of $2,600. Use .10 level of significance. Which of...
a). Professor Jennings claims that only 35% of the students at Flora College work while attending...
a). Professor Jennings claims that only 35% of the students at Flora College work while attending school. Dean Renata thinks that the professor has underestimated the number of students with part-time or full-time jobs. A random sample of 79 students shows that 35 have jobs. Do the data indicate that more than 35% of the students have jobs? Use a 5% level of significance. What is the value of the sample test statistic? (Round your answer to two decimal places.)____?...
Illustration: Whether they have to or want to, many students work while attending college and many...
Illustration: Whether they have to or want to, many students work while attending college and many students even attempt to do both full-time. Discuss three difficulties students face when they work while going to school. Be sure to provide three clear examples to support your point. Use third-person examples, do not write the essay as a narrative.
Professor Jennings claims that only 35% of the students at Flora College work while attending school....
Professor Jennings claims that only 35% of the students at Flora College work while attending school. Dean Renata thinks that the professor has underestimated the number of students with part-time or full-time jobs. A random sample of 85 students shows that 38 have jobs. Do the data indicate that more than 35% of the students have jobs? Use a 5% level of significance. What is the level of significance? State the null and alternate hypotheses. What is the value of...
Professor Jennings claims that only 35% of the students at Flora College work while attending school....
Professor Jennings claims that only 35% of the students at Flora College work while attending school. Dean Renata thinks that the professor has underestimated the number of students with part-time or full-time jobs. A random sample of 82 students shows that 36 have jobs. Do the data indicate that more than 35% of the students have jobs? Use a 5% level of significance. What are we testing in this problem? single proportionsingle mean     (a) What is the level of significance?...
Professor Jennings claims that only 35% of the students at Flora College work while attending school....
Professor Jennings claims that only 35% of the students at Flora College work while attending school. Dean Renata thinks that the professor has underestimated the number of students with part-time or full-time jobs. A random sample of 83students shows that 38 have jobs. Do the data indicate that more than 35% of the students have jobs? Use a 5% level of significance. What are we testing in this problem? single mean single proportion      (a) What is the level of significance?...
Professor Jennings claims that only 35% of the students at Flora College work while attending school....
Professor Jennings claims that only 35% of the students at Flora College work while attending school. Dean Renata thinks that the professor has underestimated the number of students with part-time or full-time jobs. A random sample of 80 students shows that 38 have jobs. Do the data indicate that more than 35% of the students have jobs? Use a 5% level of significance. What are we testing in this problem? single proportionsingle mean     (a) What is the level of significance?...
Professor Jennings claims that only 35% of the students at Flora College work while attending school....
Professor Jennings claims that only 35% of the students at Flora College work while attending school. Dean Renata thinks that the professor has underestimated the number of students with part-time or full-time jobs. A random sample of 80 students shows that 38 have jobs. Do the data indicate that more than 35% of the students have jobs? Use a 5% level of significance. What are we testing in this problem? single proportionsingle mean     (a) What is the level of significance?...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT