Auto insurance options offered by AA Auto Insurance are outlined in the table below.  What monthly payment would you expect for an insurance policy through AA Auto Insurance with the following options? Bodily Injury:  $25/50,000 Property Damage:  $25,000 Collision:  $250 deductible Comprehensive:  $100 deductible
a.
$43.23
b.
$46.10
c.
$54.85
d.
$64.44


 

Respuesta :

Option C. 54.85
22.5 + 120.5 + 415.25 + 100 = 658.25
658.25/12 = 54.854
round down and get answer c

In this exercise we have to use the knowledge of finance to calculate the monthly amount of insurance, so the best alternative that represents this amount is:

Option C

In this exercise we want to calculate the monthly insurance payment amount, so from the given values ​​we find:

[tex]Payment= (Bodily Injury)+ (Property Damage)+ (Collision)+(Comprehensive)[/tex]

Substituting the values ​​in the formula given above we find that:

[tex]Payment= 22.5 + 120.5 + 415.25 + 100 \\= 658.25\\658.25/12 = 54.854[/tex]

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