Solve the Problem. -Pelican Lumber Company Owns a Building with a Replacement Cost

question 106

Multiple Choice

Solve the problem.
-Pelican Lumber Company owns a building with a replacement cost of $738,000 which is insured for $531,360 with an 80% coinsurance clause. The building has a fire loss of $20,500. How much will the insurance company pay?

• A)$20,500
• B)$18,450
• C)$14,760
• D)$22,140

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Definitions:

Special Ethical Problems

These refer to complex moral issues that arise in specific contexts, such as healthcare, business, or technology, which may require specialized knowledge and consideration to resolve.

Psychiatrists

Medical doctors specialized in the diagnosis, treatment, and prevention of mental illnesses and emotional disorders.

Duty To Warn

The ethical or legal obligation of an individual, often a professional, to disclose information to prevent harm to others, particularly in medical, therapeutic, and legal contexts.