How much will the insurer pay for each of these losses

Assignment Help Finance Basics
Reference no: EM13270192

Nick and Sheila Preston are married and have purchased a comprehensive major medical policy which covers them and their two sons, Wally and Brent. The policy has a $500 calendar year family deductible, a $2,500 stop-loss provision, and an 80% coinsurance clause. The following losses occur: On January 1, 2004 Sheila was treated for an infection at a cost of $200, on July 1, 2004 Wally was treated for an injury suffered while waterskiing at a cost of $10,000, on December 5, 2004 Nick underwent eye surgery at a cost of $5,000, and on January 5, 2005 Brent was treated for a broken leg at a cost of $2,000. How much will the insurer pay for each of these losses?

Reference no: EM13270192

How much value to the unlevered firm per dollar of debt

Given the following information, leverage will add how much value to the unlevered firm per dollar of debt? Corporate tax rate: 30% Personal tax rate on income from bonds: 2

Describe how stock prices are determined in stock markets

Describe how stock prices are determined in stock markets and how derivatives can be used to hedge or speculate on stock prices. Examples should include put and call options

How much will be in the account three years

If you also add another $5,000 to the account one year (12 months) from now and another $7,500 to the account two years from now, how much will be in the account three years

Would a bank earn more revenue

Would a bank earn more revenue on a $10 million loan by charging 8% compounded quarterly or 7.9% compounded daily, other things being equal? Show all working in your answer.

Calculate the expected share price for fincorp

Calculate the expected share price for FINCORP if it decides to go ahead with the plan and makes an announcement to this effect. Has FINCORP made a positive NPVinvestment de

Calculate the value of a right

The New Word Corporation has 1,000,000 shares outstanding at $30/share. If the firm wishes to raise $13.5 million at a subscription price (North American rights offering) of

Calculate the value of the guarantee to the firm

A large firm received a loan guarantee from the government. Due to the guarantee, the firm can borrow $50 million for five years at 8% interest rate per year instead of 10%

What is the current value of the property

A rental property is providing an acceptable market rate of return of 13%. You expect next year's rent to be $1.0 million and that rent is expected to grow at 3% per year fo

Reviews

Write a Review

 
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!

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