Which of the Following Forms Is Used to Insure Buildings

question 30

Multiple Choice

Which of the following forms is used to insure buildings that are under construction?

• A)builders risk coverage form
• B)floor plan coverage form
• C)new construction coverage form
• D)labor and materials coverage form

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Definitions:

Working Capital

The difference between a company's current assets and current liabilities, indicating its ability to meet short-term obligations.

Discount Rate

A discount rate utilized in discounted cash flow assessment for establishing the present worth of expected cash flows.

Annual Operating Cash Inflows

Annual operating cash inflows are the monetary returns received from a company's day-to-day business operations over the course of a year.

Salvage Value

The anticipated market value of an asset at the conclusion of its lifespan.