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stich3 [128]
3 years ago
11

Cheyenne has a home insured for $160,000. It would cost $180,000 to rebuild her home. If she has home insurance that provides pe

rsonal property coverage at 70% of value, how much of her household belongings would be covered?
Business
1 answer:
mestny [16]3 years ago
4 0

Answer:

The correct answer is $112,000.

Explanation:

According to the scenario, the given data are as follows:

Home insured = $160,000

Cost to rebuild = $180,000

Personal property coverage = 70%

So, we can calculate the amount of coverage by using following formula:

Amount of coverage = Home insured × Personal property coverage

By putting the value, we get

Amount of coverage = $160,000 × 70%

= $112,000

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