Question

Kerri Payne is employed by Caterer’s Central. She has a family membership in the health insurance program. The annual premium is $6,486. Kerri’s employer pays 80% of the total cost. Her contribution is deducted from her paycheck. What is Kerri’s annual contribution?

Answer 1

This is the concept of commercial arithmetic, we are required to calculate the amount that Kerri contributes towards her health insurance if the total annual contribution is $6,486 and the employer pays 80% of this;
percentage insurance that Kerri pays is:
1000-80
=20%
Annual premium= $6,486
Amount paid by Kerri will be:
20/100*[total amount paid]
20/100*6,486
=$1,297.2
The answer is $ 1,297.2