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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?
An investment has the following range of outcomes and probabilities: Compute the expected value and the standard deviation
Epsilon Company is evaluating an expansion of its business. The cash-flow forecasts for the project are as follows:
What amount of the payroll department costs will be allocated to the molding department?
As loan analyst for Madison Bank, you have been presented the following data. Eachof these corporations has requested a loan of $50,000 for 6 months with no collateral offered.
Computation of credit policy by using the given information and the average sale price per unit is $1,000 and the variable cost per unit is $850
A Corporation invests $1,000,000 at the beginning of the year. It adds another $250,000 at the end of 1st quarter, withdraws $350,000 at the end of second quarter,
Explain trend of interest rates and describe the trend of interest rates over the last several years
After that period, growth should match the 6 percent industry average rate. The last dividend paid (D0) was $1. What is the value per share of your firm's stock?
Determine the different types of financial reports you communicate with in accounting, and what do they tell you?
What is the current value of Frocks & Socks Clothiers, Inc. to an investor who has a required rate of return of 12 percent? The current dividend is $1.00 and the dividends are expected to grow 8 percent per year for 3 years.
Apex Supplies borrows £1 million at 12%, payable in one year. If Apex is needed to maintain a compensating balance of 20%,
Johnson Enterprises borrowed $100,000 on July 1, 2003 to finance the purchase of a building. The mortgage needs payments of $3225 to be made at the end of every quarter for fifteen years.
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