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3 years ago

How does a deductible affect insurance?

1 answer:

6 0

The deductible is the amount a person must pay before their insurance will start to pay. For instance, say you have a $1,000 deductible on your car and you have a wreck that causes $3,000 worth of damage. the driver would have to pay the $1,000 first and then the insurance will help cover the other $2,000 at the rate the policy stipulates.

As for pricing, the insurance policies with higher deductibles (meaning the subscriber pays more for losses), the insurance premium would be cheaper than those policies with a smaller deductible.

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The data dictionary serves as an important data management tool by

riadik2000 [5.3K]

<span>creating an inventory of data contained in the database.</span>

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3 years ago

Sherrie Hymes holds a $200,000 portfolio consisting of the following stocks. The portfolio's beta is 0.875. Stock Investment Bet

yuradex [85]

Answer:

The portfolio’s new beta will be 1.125

Explanation:

In this question, we are interested in calculating the portfolio’s new beta given the value of the beta of the stock which is used in replacing it.

We apply a mathematical approach here.

Mathematically;

Portfolio beta=Respective beta * Respective investment weight

=(50,000/200,000*1.5)+(50,000/200,000*0.8)+(50,000/200,000*1)+(50,000/200,000*1.2)

= 0.375 + 0.2 + 0.25 + 0.3 = 1.125

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3 years ago

What tools manage formatting for certain types of documents, including font choices, spacing, and margins?

nekit [7.7K]

Answer:

I think its stylistic

Explanation:

because style is related to format and those are like formatting.

Hope this helps :)

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3 years ago

A 30-year maturity, 8% coupon bond paying coupons semiannually is callable in five years at a call price of $1,100. The bond cur

aksik [14]

Miss girl u asking for too much chile

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3 years ago

It is now January 1, 2018, and you are considering the purchase of an outstanding bond that was issued on January 1, 2016. It ha

kipiarov [429]

Answer:

YTM is 7.54%.

Explanation:

The yield to maturity can be calculated using the following RATE function in Excel:

YTM = RATE(nper,pmt,-pv,fv) .............(1)

Where;

YTM = yield to maturity = ?

nper = number of periods = number of years to maturity = original maturity number of years - number of years between January 1, 2016 and January 1, 2018 = 20 - 2 = 18

pmt = annual coupon payment = face value * annual coupon rate = 1000 * 9% = 90 (Note: This is an inflow to the bondholder and it is therefore a positive figure).

pv = present value = current bond price = -1141.20 (Note: This is an outflow to the buyer of the bond and it is therefore a negative figure).

fv = face value of the bond = 1000 (Note: This is an inflow to the bondholder and it is therefore a positive figure).

Substituting the values into equation (1), we have:

YTM = RATE(18,90,-1141.20,1000) ............ (2)

Inputting =RATE(18,90,-1141.20,1000) into excel (Note: as done in the attached excel file), the YTM is obtained as 7.54%.

Therefore, YTM is 7.54%.

Download xlsx

7 0

3 years ago