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3 years ago

Which of the following does not constitute an insurable interest?

Business

2 answers:

bekas [8.4K]3 years ago

7 0

Answer:

B) you make an offer to buy your neighbor's house.

Explanation:

An insurable interest is something (a material or immaterial object) that an individual believes he should obtain insurance to protect himself from unforeseen events such as economic losses, death, etc.

For example, you can obtain insurance for your house or your car (material objects), a bank can obtain insurance for your mortgage (immaterial object), etc.

When you make an offer to buy something, there is nothing (no object) you can insure since you don't own anything yet.

Murrr4er [49]3 years ago

6 0

Answer:you make an offer to buy your neighbor's house.

Explanation:

As seen from the aforementioned alternatives which all have insurable interest.Thus they are expantiated;

1)Firstly,a savings and loan company holding a mortgage on your home has an insurable interest on interest of the property on insurance premium.

2)Secondly,your lease makes you liable for fire damage to your rented premises makes for an insurable interest which is in form of mortagee/morgator contract,even if it isn't your property,it makes you liable for an insurable interest.

3)Thirdly,you have custody of a valuable painting when the owner is away also makes you eligible for an insurable interest.Though here as carrier,it still gives the right to an insurable interest courtesy of the fact that it is in your custody.

Finally,you make an offer to buy your neighbor's house doesn't make you eligible for an insurable interest because it's just a matter of a vocal agreement,thus no transaction has been carried out and therefore,no property transferred to your custody either way.

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Keynes believed that Question 8 options: Say's law would hold in a laissez-faire economy. the economy would always be near or on

zloy xaker [14]

Answer:

wages and prices are often inflexible in the downward direction.

Explanation:

John Maynard Keynes was a British economist born on the 5th of June, 1883 in Cambridge, England. He was famous for his brilliant ideas on government economic policy and macroeconomics which is known as the Keynesian theory. He later died on the 23rd of April, 1946 in Sussex, England.

Keynes believed that wages and prices are often inflexible in the downward direction.

In Economics, when there are monetary disturbances and a great level of macroeconomic factors in the economy of a particular country, this usually result in prices of goods and services being sticky.

6 0

2 years ago

An end-of-aisle price promotion changes the price elasticity of a good from −2 to −3. Suppose the normal price is $34, which equ

Vika [28.1K]

Answer:

MC = $17

P = $25.5

Explanation:

We proceed as follows;

Firstly calculate MC when e = -2, where MR = MC

(P-MC) / P = 1 / IeI

Here P = $34 and e = -2

(34 - MC) / 34= 1/ I-2I

(34 - MC) / 34= 1 / 2

78-2MC = 34

2MC = 34

MC = 34/2

MC = 17

Now, as we have MC, we will calculate the new price when e = -3

(P-MC) / P = 1 / IeI

(P - 17) / P = 1 / I-3I

(P - 17) / P = 1 / 3

3P -51 = P

2P = 51

P = 51/2

P = 25.5

8 0

3 years ago

In a bill-and-hold arrangement, revenue only can be recognized after the sale of the goods to the end user.

Verdich [7]

The correct answer is True. When ownership of the items passes to the customer, revenue is realised. In addition to the requirements for determining when control transfers, a reporting entity must also satisfy certain additional requirements for a customer to have achieved control in a bill-and-hold arrangement.

A bill and hold sales arrangement allows for payment in advance of the item's delivery. This is a sales agreement when a product seller invoices a consumer up front but doesn't actually ship the thing until later.

In a bill and hold transaction, the vendor does not deliver the purchased goods to the customer, but the associated income is still recorded. Under this structure, revenue cannot be recognised until a number of severe requirements have been satisfied. The possibility of falsely recognising revenue too early exists otherwise.

To learn more on bill and hold arrangement

brainly.com/question/14009218

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8 0

1 year ago

What are the requirements for something to be used as money?

Anastasy [175]

For it to have international value

7 0

2 years ago

Q 6.26: Howard Incorporated is determining ending inventory. In the inventory process, Howard inadvertently miscategorized a $6,

Fudgin [204]

Answer:

This error will decrease Howard's inventory by $6,000

Explanation:

Howard's inventory should include:

inventory on hand + goods purchased FOB shipping point + goods sold FOB destination point.

FOB shipping point means that the title of the goods is passed at the moment that they leave the seller's warehouse. FOB destination point means that the title of the goods is passed only after they have been delivered to the buyer's warehouse.

In this case, Howard purchased goods as FOB shipping point, so that means they should have been included in their inventory. Since they weren't, this error will decrease its inventory by $6,000.

5 0

2 years ago