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Calculate the premium that adrian

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Reference no: EM131083102

Adrian buys a car costing £7,600 on hire purchase, and pays 22.5% of this as a deposit.

(a) Calculate the amount of the deposit.

Adrian finds that his car travels 210 miles on 16.8 litres of petrol.

(b) Calculate the distance the car will travel on one litre of petrol.

Adrian has an accident in his car and the repairs cost £670.

The insurance company decides that the car was under insured, and only insured for 85% of its true value. They therefore pay only 85% of the cost of the repairs.

(c) Calculate the amount of the repairs paid by Adrian .

The annual premium paid by Adrian before the accident was £255.

(d) If this was 85% of what Adrian should have paid, calculate the premium that Adrian should have paid.

Reference no: EM131083102

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