Jim Was in an Auto Accident This Year

question 47

Multiple Choice

Jim was in an auto accident this year. Jim paid $2,450 to repair his car after the accident and his insurance only reimbursed him $400. Jim bought his car several years ago for $1,500. What is the amount of casualty loss from this accident before Jim applies any casualty loss floor limitations?

• A) $2,450
• B) $2,050
• C) $1,500
• D) $1,100
• E) None of these is correct.

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Definitions:

Population Variance

A measure that indicates the spread of a set of data points in a population by calculating the average of the squared differences from the mean of the population.

Risk

Risk refers to the potential for losing something of value or the possibility of an event occurring that would lead to a negative outcome.

Consistency

Consistency in data or methodologies indicates that the results or approaches remain steady and unvarying over multiple trials or instances.

Chi-squared Distribution

A statistical distribution that is used to describe the distribution of the sum of the squares of independent, standard normal variables.