Find the amount paid by each insurance company

Assignment Help Financial Management

Reference no: EM132054479

1. Find the book value to the nearest dollar.

Cost $5450, life 6 years, scrap value $382 at the end of 2 years using double-declining balance method

$2422

$2634

$3901

$3785

2. Find the depreciation per unit. Round to the nearest cent.

Cost: $9000

Salvage: $450

Est. Life: 120,000 copies

$0.70

$0.80

$0.07

$0.08

3. Find the amount paid by each insurance company. Assume that any coinsurance requirement is met.

Insurance loss: $15,000

Company A coverage: $90,000

Company B coverage: $30,000

A pays: $11,250

B pays: $3750

A pays: $13,500

B pays: $1500

A pays: $10,500

B pays: $4500

A pays: $15,000

B pays: $0

Reference no: EM132054479

Questions Cloud

Which project is preferable from risk return point of view : Investment B has a standard deviation of 18%, but an expected return of 12%. Which project is preferable from a risk return point of view?

Calculate the new portfolio beta : Your portfolio consists of $ 4000 investment in each of 18 different common stocks. Calculate the new portfolio beta.

What would be the stock new required rate of return : If the beta of the stock increased to 1.90, what would be the stock’s new required rate of return?

Annual amount of depreciation using the straight-line method : Find the annual amount of depreciation using the straight-line method. Find the depreciation per unit.

Find the amount paid by each insurance company : Find the depreciation per unit. Find the amount paid by each insurance company. Assume that any coinsurance requirement is met.

Investment that plots below the security market line : What would you recommend to an investor who is considering an investment that plots below the security market line?

What are the break-even levels of EBIT for each plan : What are the break-even levels of EBIT for each plan as compared to that for an all-equity plan?

Difference between ordinary annuity and annuity due : What’s the difference between an ordinary annuity and an annuity due?

Calculate the estimated value of the stock right now : calculate the estimated value of the stock right now (P0). Also, what do you think would be the value of the same stock at the end of one year, in other words,

User Account

All Pages