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GenaCL600 [577]
3 years ago
6

Use the following scenario for the question below. A group of 100 people seeks out an insurance company to underwrite health ins

urance for its members. The expected medical spending for the group is $150,000. Assume a net loading cost of 15 percent. If an additional 10 people, who have expected medical spending of $5,000 per person on average, join the group, the new premium will be approximately: a. $2,100. b. $2,300. c. $1,818. d. $3,090. e. $5,822.
Business
1 answer:
makvit [3.9K]3 years ago
7 0

Answer:

c. $1,818.

Explanation:

Average premium = ( Expected medical cost + increase in medical spending + loading cost ) / 100

Average premium = ( $150,000 + $5,000 + 15% ) / 100

Average premium = $1,818.

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Molodets [167]

Answer:

B. 66.67​%

Explanation:

Contribution is the difference between the company's total revenue and the total variable cost. The ratio of the contribution to sales or revenue gives the contribution margin ratio.

The contribution may also be derived from the addition of the fixed cost and the operating income.

Contribution margin

= $115,000 + $54,000

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Let the number of units to be sold to achieve targeted income be U

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U = 42,250

Contribution margin ratio = 169000/(6 * 42,250)

= 66.67%

6 0
3 years ago
Type the correct answer in the box. Spell all words correctly.
Solnce55 [7]

Answer:

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Explanation:

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Parents, grandparents, or guardians can open 529 savings account for a child, who will be named as the beneficiary.  The contributor of funds to the account may be eligible for a state tax deduction for contributing to a 529 plan. The gains on the accounts are exempt from tax if they are to be used on education expenses.

5 0
2 years ago
An audit plan of substantive procedures for cash would not includeA. request a cutoff bank statement be mailed to the client. B.
faltersainse [42]

Answer:

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These tests are conducted to ensure that the financial records are complete and correct.

These procedures are conducted by an auditor and include examining journal entering, testing account balances and transactions.

Though it does not include requesting a cut off bank statement to be mailed to the client.

5 0
3 years ago
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Roman55 [17]
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4 0
3 years ago
Why did Guardbark want people to not disturb the trees?
vichka [17]

Answer:

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I found this answer on google so I hope this helps.

3 0
3 years ago
Read 2 more answers
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