User Account

All Pages

Completely destroy the property

Assignment Help Business Management
Reference no: EM131638172

An $800,000 property has 1/10 of 1 percent chance of catching fire that will cause damages of $100,000, and 1/20 of 1 percent chance of catching fire that will completely destroy the property. Management decided to insure the property and it is reviewing two possible insurance policies:

1.) A policy with $50,000 deductible: that is, the insurance company covers all damages except the initial $50,000. The annual premium for such a policy is $750.

2.) A no-deduction (fully paid) policy with an annual premium of $1,000.

If the company's objective is cost minimization, which policy should it purchase?

Reference no: EM131638172

Questions Cloud

How much interest expense would be recognized : How much interest expense would be recognized under GAAP on July 1, 2010? (round to the nearest dollar)
How might organizations combat the problems : It explains the housing bubble, but it also explains the bust. How might organizations combat the problems resulting from herd behavior?
Discuss school-based interventions for preventing hiv : School-based interventions for preventing HIV, Sexually transmitted infections, and pregnancy
Should all organizations try to analyze big data : Should all organizations try to analyze big data? Why or why not?
Completely destroy the property : An $800,000 property has 1/10 of 1 percent chance of catching fire that will cause damages of $100,000, and 1/20 of 1 percent chance of catching fire
General journal entries to record the selected transactions : General journal entries to record the selected transactions. Stockholders' equity section as of the close of business on December 31, 20X4
Extended mix itself too general given diversity of services : To what extent is an extended marketing mix of seven Ps suitable for services, or is the extended mix itself too general given the diversity of services?
Healthcare that demonstrated successful root cause : experience or healthcare that demonstrated successful root cause analysis
Evaluate the significance of the internet : Evaluate the significance of the internet. Describe how the significance of the internet has changed over time, as well. Has it become more or less significant?

Reviews

Write a Review

Business Management Questions & Answers

  Caselet on michael porter’s value chain management

The assignment in management is a two part assignment dealing 1.Theory of function of management. 2. Operations and Controlling.

  Mountain man brewing company

Mountain Man Brewing, a family owned business where Chris Prangel, the son of the president joins. Due to increase in the preference for light beer drinkers, Chris Prangel wants to introduce light beer version in Mountain Man. An analysis into the la..

  Mountain man brewing company

Mountain Man Brewing, a family owned business where Chris Prangel, the son of the president joins. An analysis into the launch of Mountain Man Light over the present Mountain Man Lager.

  Analysis of the case using the doing ethics technique

Analysis of the case using the Doing Ethics Technique (DET). Analysis of the ethical issue(s) from the perspective of an ICT professional, using the ACS Code of  Conduct and properly relating clauses from the ACS Code of Conduct to the ethical issue.

  Affiliations and partnerships

Affiliations and partnerships are frequently used to reach a larger local audience? Which options stand to avail for the Hotel manager and what problems do these pose.

  Innovation-friendly regulations

What influence (if any) can organizations exercise to encourage ‘innovation-friendly' regulations?

  Effect of regional and corporate cultural issues

Present your findings as a group powerpoint with an audio file. In addition individually write up your own conclusions as to the effects of regional cultural issues on the corporate organisational culture of this multinational company as it conducts ..

  Structure of business plan

This assignment shows a structure of business plan. The task is to write a business plane about a Diet Shop.

  Identify the purposes of different types of organisations

Identify the purposes of different types of organisations.

  Entrepreneur case study for analysis

Entrepreneur Case Study for Analysis. Analyze Robin Wolaner's suitability to be an entrepreneur

  Forecasting and business analysis

This problem requires you to apply your cross-sectional analysis skills to a real cross-sectional data set with the goal of answering a specific research question.

  Educational instructional leadership

Prepare a major handout on the key principles of instructional leadership

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd