Which of the Following Statements About the Personal Property Replacement

question 14

Multiple Choice

Which of the following statements about the personal property replacement cost endorsement used with the homeowners policy is (are) true?
I.The damaged or destroyed property must be repaired or replaced,no matter the size of the loss.
II.It is designed primarily for antiques and fine art.

• A)I only
• B)II only
• C)both I and II
• D)neither I nor II

---

Definitions:

Sale of Bonds

The process by which a company or government issues bonds to investors in order to raise capital, effectively borrowing from the bond purchasers.

Interest

The cost of borrowing money or the return on invested funds, expressed as a percentage of the principal amount.

Long-Term Investments

Investments held by a company that are intended to be kept for more than one year, such as stocks, bonds, or real estate, potentially generating income or appreciating in value.