Answered

Discover the answers to your questions at Westonci.ca, where experts share their knowledge and insights with you. Explore thousands of questions and answers from knowledgeable experts in various fields on our Q&A platform. Experience the ease of finding precise answers to your questions from a knowledgeable community of experts.

After reviewing her driving record for the past 3 years, Cindy's insurance company offers her a discount of 4.5%. Her original policy premiums are listed below. What is her new annual premium including the discount?

| Type of Insurance Coverage | Coverage Limits | Annual Premiums |
|----------------------------|-----------------|-----------------|
| Bodily Injury | [tex]$50,000/$[/tex]100,000| [tex]$31.75 |
| Property Damage | $[/tex]25,000 | [tex]$120.50 |
| Collision | $[/tex]500 deductible | [tex]$275.75 |
| Comprehensive | $[/tex]100 deductible | [tex]$100.00 |

a. $[/tex]504.24
b. [tex]$523.50
c. $[/tex]528.00
d. $551.76

Sagot :

GinnyAnswer
To determine Cindy's new annual premium including the 4.5% discount, we need to follow a step-by-step approach:

1. Calculate the total original annual premium:
We add up all the annual premiums for each type of coverage:
[tex]\[ \text{Total Original Annual Premium} = \$31.75 + \$120.50 + \$275.75 + \$100.00 = \$528.00 \][/tex]

2. Calculate the discount amount:
We know that Cindy is offered a discount of 4.5%. To find the discount amount, we need to apply this rate to the total original annual premium:
[tex]\[ \text{Discount Amount} = \text{Total Original Annual Premium} \times 0.045 = \$528.00 \times 0.045 = \$23.76 \][/tex]

3. Calculate the new annual premium after the discount:
Subtract the discount amount from the total original annual premium to get the new annual premium:
[tex]\[ \text{New Annual Premium} = \$528.00 - \$23.76 = \$504.24 \][/tex]

Therefore, Cindy's new annual premium including the 4.5% discount is [tex]$\$[/tex]504.24$.

The correct answer is:
[tex]\[ \boxed{504.24} \][/tex]
Thanks for using our service. We're always here to provide accurate and up-to-date answers to all your queries. We hope this was helpful. Please come back whenever you need more information or answers to your queries. Westonci.ca is committed to providing accurate answers. Come back soon for more trustworthy information.