It terminates <span>9÷16=<span>.5625</span></span>
1. Multiply the value of the house by the percent:
250,000 x 0.9 = 225,000
Divide the amount the owner insured by the clause amount:
191,250/225,000 = 0.85
Multiply that by the amount of damage:
0.85 x 80,000 = 68,000
They will receive $68,000
2. Follow the same steps as above:
180,000 x 0.75 = 135,000
101,250 / 135,000 = 0.75
0.75 x 50,000 = 37,500
They will receive $37,500
