Based on the Information in Clarissa's Auto Insurance Application, Her

question 100

Multiple Choice

Based on the information in Clarissa's auto insurance application, her agent has assigned Clarissa to driver class 3 and placed her 5-year-old car in model class N. The state where she lives requires minimum liability coverage of 50/100/50, and she also wants $250 deductible collision and full coverage comprehensive. Using Tables 19-6 and 19-7 from your text, find her total premium, if her state is in territory 2, and she has received a rating factor of 2.8. (Round your answer to the nearest cent)

• A) $359.00
• B) $646.20
• C) $784.00
• D) $1,005.20

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Definitions:

Residual Transformation

Residual transformation involves altering the residuals from a data model, possibly to meet the assumptions of linear regression such as normality or homoscedasticity.

Estimated Regression Equation

A formula that models the relationship between one or more independent variables and a dependent variable.

Yearly Income

The total amount of money earned by an individual or entity in one calendar year from all sources before any deductions.

SSE

Sum of Squares due to Error, a measure indicating the discrepancy between the data and an estimation model.