What is duplicate coverage and why should I avoid it

Business

2 answers:

Inessa05 [86]3 years ago

6 0

Answer:

Duplicate coverage is having more than one insurance policy (from different companies) that covers an event, e.g. to have two auto insurance policies and file a claim on both of them regarding the same accident.

Explanation:

If you are paying two distinct policies, you are just paying for redundant coverage. Only one insurance company will pay for a claim not both of them, since you are not allowed to make claims with two insurance companies at the same time.

VARVARA [1.3K]3 years ago

4 0

Insurance companies have always been very concerned about the problem of a policyholder having duplicate coverage with more than one insurance company with the result that you make a profit from the claims you submit to more than one insurance company for the same expenses.

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Which of the following is not a financial intermediary?

EastWind [94]

Answer:

Commercial business.

Explanation:

An institution that facilitates the channeling of funds between lenders and borrowers indirectly. And this all are the examples of the same.

Banks.

Mutual savings banks.

Savings banks.

Building societies.

Credit unions.

Financial advisers or brokers.

Insurance companies.

Collective investment schemes.

cooperative societies

Stock exchanges

Commercial business is not a financial intermediary, but this includes the distribution of goods & services and this include all the asset and liabilities of the business and doesn't take into account the operations.

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3 years ago

Using the indirect method (statement of cash flows), a gain from the sale of equipment would: A) be subtracted from net income B

eimsori [14]

Answer:

The correct answer is A) be subtracted from net income

Explanation:

The indirect method involves the adjustment of net income with changes in balance sheet accounts to arrive at the amount of cash generated by operating activities.

It depends on the account if it is added or subtracted to net income.

A gain from the sale of equipment is subtracted from net income

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3 years ago

An entrepreneur purchased an existing bicycle shop that had between $120,000 and $150,000 worth of sales annually for the past t

stepan [7]

Answer:

Forecasted sales: 25% maximum reduction.

Recommendations: try new ways to increase sales during the months left, or reduce its own cost.

Explanation:

If sales usually increase between March 1 and June 30, and this period accounts for 50% of annual revenue, if revenue is proportional to sales, a reduction in sales will reduce revenues.
Between March 1 and June 30 there are 4 months.
If sales usually pick up in March and this year they were low until the beggining of May, it means that only 2 of the 4 most productive months were higly productive.
If 50% of sales are concentrated in this 4 months, and this year 2 of the 4 months were not really productive, a maximum 25% of sales (and hence of revenues) may have lost.
Therefore, revenues may lower by 25% this year.
To avoid losses, it is advisable to try new ways to increase sales during the months left, that can consist on doing some advertisement and promotions (related to health care linked to exersice for example), that helps increasing sales in the months left, to compensate the looses of the 2 months. If sales cannot be increased, it is advisable to reduce cost to avoid further looses.