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svetlana [45]
3 years ago
6

Mike has an insurance policy that pays 90% of the replacement cost of personal property damaged in a fire. A fire destroyed a st

ove that Mike paid $350 for but it was now worth only $90. A new one would cost $400. How much will Mike’s insurance company pay?
Business
2 answers:
podryga [215]3 years ago
7 0

Answer:

Explanation:

Mike insurance company will pay = 0.9 of 400 = $ 360

zheka24 [161]3 years ago
7 0

Answer: Mike's insurance company will pay $360. That is, 90 percent of $400.

Explanation: The insurance company pays 90 percentage of the replacement cost of personal property damaged by fire. Although the actual amount Mike paid for the stove was $350 but now was worth $90 due to the fire incident. The insurable amount that was expected to have been communicated to the insurance company was the current market value and not the actual amount parted with, at first. This is because the insured would be at a loss in case of any eventuality.

So it was expected that Mike would have communicated $400 as the current market value to the insurance company to be the insurable amount.

The insurance company would take possession of the damaged stove which is now worth $90 and sell it to salvage buyer most likely at that price to cushion the loss that was incurred. Also, the company would pay $360 to Mike while he bears the remaining balance, which is $40.

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A company issues $60,000 of 6%, 5-year bonds dated January 1 that pay interest semiannually on June 30 and December 31 each year
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Decrease, $2,000

Explanation:

The premium on bonds payable will <u>decrease </u>total interest expense recognized over the life of the bond by <u>$2,000</u>. The difference between the face value & the issue value $2,000 ($62,000 - $60,000) should be amortize over a period of time and of which is reduced from interest expense.

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3 years ago
During an exit interview, a manager discovers that the reason an employee is resigning is because of unlawful harassment from a
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Answer:

See explanation below for answer.

Explanation:

The manager should embark on an investigation, in order to get to the bottom of the matter. The accusation must be treated seriously in order to make sure that the root cause of the problem is established, this will be done with the details of the harassment that the employee provides.

Also, the witnesses that the employee has mentioned must be questioned in order to establish the facts of the issue. The matter must be treated with the utmost urgency, in order to stop the issue from repeating itself, because this will affect the productivity of the affected employees if left unchecked.

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3 years ago
Read 2 more answers
On January 1, 2018, Jolley Corp. paid $250,000 for 25% of the voting common stock of Tige Co. On that date, the book value of Ti
shusha [124]

Answer:

            Dr. Investments in Associates 250,000

            Cr.            Cash                                 500,000

          Dr. Cash                                   10,000

          Cr.            Investments in Associates 10,000

          Dr. Investments in Associates 50,000

          Cr.     Investment revenue                    50,000

Explanation:

The equity method is a type of accounting used to incorporate investments. It is used when the investor holds significant influence over the investee but does not exercise full control over it.

An investor is deemed to have significant influence over an investee if it owns between 20% to 50% of the investee’s shares or voting rights.

- Jolley receives dividends of $10,000, which is 25% of $40,000, and records a reduction in their investment account. The reason for this is that they have received money from their investee.

- Jolley records the net income from Tige Co. as an increase to its Investment account.

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4 years ago
____________ helps to preserve the relationship between workers and management because it helps them listen to the other side.
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Answer:

The correct answer is letter "C": Mediations.

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3 years ago
3.Which of the following is not a characteristic of a vertical organizational structure? A. Greater efficiency in handling uncom
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Answer:

  • <em><u>D. Consists of casual relationships and external office influences </u></em>

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The rules emanate from top management and are transmitted down by each division, department, until they reach employees at the lower level of the company.

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<em> C. Slower communication </em>

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<em>D. Consists of casual relationships and external office influences </em>

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