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Leto [7]
2 years ago
9

Zach is looking for a homeowners insurance policy for his new house. AAA Insurance company has offered him a plan that insures h

is home annually for $0. 36 per $100 of value in the home. In order to make calculations easier, Thompson’s Insurance lists their annual homeowners insurance premium a bit differently, at $3. 63 per $1,000 of value in the home. Zach’s house is worth $289,000. What should Zach be thinking as he chooses between the two insurance companies? a. $3. 63 per $1,000 is approximately the same as $0. 36 per $100. The premiums for the two insurance companies will be the same. B. The annual premium for his house would be cheaper through AAA. C. The annual premium for his house would be cheaper through Thompson’s. D. Since the two insurance companies list their premiums differently, the two cannot be compared.
Business
1 answer:
a_sh-v [17]2 years ago
4 0

The annual premium for Zack's house would be <u>cheaper</u> through <em>AAA </em>than <em>Thompson’s Insurance. </em>

<h3>How to calculate the annual premium of two companies? </h3>

AAA company is offering $0.36 per $100 of value.

Thompson company is offering $3.63 per $1,000 of value;

\frac{3. 63 }{1000} \\=\frac{0.363}{100}

Hence, <u>0.363</u> is higher than 0.36, which makes <em>AAA company </em>more beneficial for insurance.

Learn more about premium calculation here:

brainly.com/question/2644714

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Answer:

Amount of underapplied or overapplied overhead cost for the year

$97000 - Underapplied

Schedule of cost of goods manufactured for the year

Direct Material                                3885000

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Total Manufacturing Costs             4321000

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Less Closing Inventory WIP            (700000)

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Amount of underapplied or overapplied overhead cost for the year

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Schedule of cost of goods manufactured for the year

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