Answer:
Step-by-step explanation:
a) Because you are only receiving $1500 and in exchange you would have to cover for this accident damage in the next year, which could be up to hundred of thousands of dollar. Sure there's a chance the your neighbor might drive safely, but the odds are far more in his favor than yours.
b) The insurance company collect payments from hundred of thousands buyers, making their cash flow up to tens of million dollar. Sure the expected value of accidents might be high but as a company they surely have capital to cover a handful of cases, if their calculation done right.
Answer:
$936
Step-by-step explanation:
Simple interest is money you can earn by initially investing some money (a.k.a the principal). In return, a percentage (a.k.a the interest) of the initial money invested is added to the principal, this is what makes your initial investment grow.
The equation for simple interest is:
I = P x r x t
P = Principal, $2600
r = interest rate, 12%
t = time involved, 3 years
Fill in the values:
2600 × 0.12 × 3 = $936.00
Since Zack wants to sell his car for 60% off the current price of $500, he has to multiply 0.60 (60% in decimal form) by $500, which equals $300. Now, the next step is very important. He has to subtract $500 from $300 since $300 is the amount OFF. Once he does that, he will get $200.
- Hope I helped :)
- Learning is beautiful thing and a lifelong journey.
The absolute value is always positive, so the numbers would be 4 and 4.
Those are two equal numbers so it is: equal to
Hope this helps.
