How much would her indemnity payment from the insurance

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Question: Katherine produces dryland wheat in North-Central Kansas. Her actual production history (APH) yield is 55 bushels per acre. The average futures price before planting (indemnity price) for wheat is $7.17. The average futures price at harvest is $9.59. She purchases crop insurance at the 80% coverage level. How much would her indemnity payment from the insurance company be for each policy if her actual yield is 40 bushels per acre?

Reference no: EM133447547

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