Mark Owns a Building That He Insured for $90,000

question 11

Multiple Choice

Mark owns a building that he insured for $90,000.The replacement cost of the building is $100,000.Mark's property insurance policy has an 80 percent coinsurance clause.Ignoring any deductible,if Mark's building is destroyed by a covered peril,how much will Mark receive from his insurer?

• A)$80,000
• B)$90,000
• C)$101,250
• D)$112,500

---

Definitions:

Extinction

in psychology, refers to the gradual disappearance of a conditioned response when the conditioned stimulus is no longer paired with the unconditioned stimulus.

Resistance To Extinction

The persistence of learned behavior or response even after the original stimulus (e.g., reinforcement) is no longer present.

Spontaneous Recovery

The reappearance of a previously extinguished conditioned response after a period of time without exposure to the conditioned stimulus.

Reinforcement

A process in behavioral psychology where the probability of a behavior occurring is increased or decreased through the use of rewards or punishments.