Carmen Viers lost everything to a fire and has spent the last eight weeks living in a motel room at a cost of $4,746. Her dwelling, which was destroyed as a result of a lightning strike, was insured with an HO-2 policy for $210,869. Prior to the loss, her home was valued at $217,000, her detached garage and poolhouse were valued at $32,043, and her personal property had an actual cash value of $92,519. To make matters worse she sustained $10,000 in injuries while trying, unsuccessfully, to save her three Greyhound dogs valued at $6,000 each. How much of her total losses and expenses will be reimbursed if she has a $1,000 deductible? The amount of total losses and expenses she will be reimbursed if she has a $1,000 deductible is $. (Round to the nearest dollar.)

Carmen Viers lost everything to a fire and has spent the last eight weeks living in a motel room at a cost of $4,746. Her dwelling, which was destroyed as a result of a lightning strike, was insured with an HO-2 policy for $210,869. Prior to the loss, her home was valued at $217,000, her detached garage and poolhouse were valued at $32,043, and her personal property had an actual cash value of $92,519. To make matters worse she sustained $10,000 in injuries while trying, unsuccessfully, to save her three Greyhound dogs valued at $6,000 each. How much of her total losses and expenses will be reimbursed if she has a $1,000 deductible? The amount of total losses and expenses she will be reimbursed if she has a $1,000 deductible is $. (Round to the nearest dollar.)

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Carolina's house burned and she lost household items worth a total of $50,000. House insured for $160,000, homeowner's policy coverage personal belongings up to 55% of insured value of the house.Calculate how much insursance coverage policy provides personal belongings and will she recieve payment for belongings?
Last year, Thea and Rory Brown bought a home with a dwelling replacement value of $350,000 and insured it (via an HO-5 policy) for $310,000. The policy reimburses actual cash value and has a $500 deductible, standard limits for coverage C items, and no scheduled property. Recently, burglars broke into the house and stole a two-year-old television set with a current replacement value of $600 and an estimated useful life of eight years. They also took jewelry valued at $1,850 and silver flatware valued at $3,000. Make sure to account for depreciation. If the Browns’ policy has an 80 percent co-insurance clause, do they have enough insurance? Assuming a 50 percent coverage C limit, calculate how much the Brown family would receive if they filed a claim for the stolen items. What advice would you give the Brown family about their homeowner’s coverage?
Scott was involved in an auto accident in which he was at fault. His own car sustained $2,780 damages and the other vehicle cost $2,848 to repair. Scott was not injured, but the driver of the other car required medical treatment costing $33,180. Scott's policy includes 10/20/5 liability, $500 deductible collision, and full coverage comprehensive. How much of the damages must the insurance company pay? a. $15,128 b. $25,128 c. $33,180 d. $38,808
The Clarks are arranging a $90,000 mortgage loan from their bank. The mortgage is to be amortized by making monthly payments over 20 years. The Interest on the loan will be 7.9% compounded semlannually. a. What is the size of the monthly payments? b. Vhat Is the principal repaid by the 20th payment? c. What is the outstanding balance after two years (I.e. 24 months)? d. How much interest will the Clarks pay in the first two years?
During her lifetime, Elaine made several property transfers, including the following: a) The $11,0000 in cash for each of her nieces and nephews that she placed in a revocable trust last year for their benefit b) The $10,000 she paid four years ago to Dr. Meyers to pay off her father's medical bill c) The $28,000 remainder interest given to her daughter, Elsie, two years ago in a irrevocable Grantor Retained Income Trust that Elaine established and funded d) The $10,000 she paid to State University for Elsie's books, and room and board six years ago e) The $29,000 in cash she gave six years ago to her husband Rolf Assume that each of these transfers constitutes Elaine's only transfer to each transferee during the year in which the transfer was made. As her Financial adviser, which of the following transfers would you tell her are fully or partially includible in her total gifts for the purpose of calculating her federal gift tax liability? Explain your response.
Andre has an unendorsed HO-3 policy. His roof is torn off by a tornado. His limit on Coverage A is $100,000. RC of the roof is $25,000, and ACV of the roof is $22,000. RC of the covered contents damaged is $65,000, and ACV of the contents is $55,000. Ignoring the effect of any deductible, how much will his insurer pay for this loss? Please show your work.
A hurricane (federally declared disaster) destroyed the Palmer's boat. The couple purchased the boat for $30,000 ten years ago and it was appraised at a FMV of $35,000 before the hurricane. Unfortunately, the Palmers did not have insurance on their boat. Compute the Palmer's casualty loss deduction before applying the 10% AGI threshold? Question 35 Ms. Donor contributed $300.000 in cash to qualified charities this year during 2020. Her AGI was $275.000. How much is Ms. Donor's charitable contribution carry forward. if any. to 2021? (Ignore any temporary changes made to the charitable contribution rules for 2020 made by The Cares Act)
In the current year, Brit had a federally declared disaster fire hit her house that damaged a couch and completely destroyed a bed and an antique table. She had no fire insurance. The couch cost $300, the bed $450, and the table $65. Just before the fire, the couch had a fair market value of $70, the bed had a value of $275, and the table had a value of $200. After the fire, the couch was worth $20. Brit's casualty loss before any dollar limitations is А. $815 В. $545 С. $390 D. $525
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Stan and Stella are married and own a home insured for $250, 000 (Coverage A limit) under an unendorsed HO-3 policy. The policy period is January 1st Dec. 31st. The non- windstorm deductible is $1,000. The windstorm deductible is 2%. Answer the following question based on the above policy information: Stan and Stella's house is completely destroyed by a hurricane winds on September 1st during Hurricane Chucky. The replacement cost of the home at the time of loss is $250, 000. How much will their insurance company pay them for their damages?
Accounting During the current year, Chuck's home was burglarized. Chuck had the following item stolen and never recovered: - Collectors coins worth $20,000. Chuck purchases the coins 10 years ago for $12,000 - A painting worth $10,000. Chuck purchases the painting 2 years ago for $12,000 - An antique vase worth $800. Chuck purchases the vase 5 years ago for $500. Chuck's homeowner's insurance policy has a $20,000 deductible clause for thefts and only reimbursed chuck $2,500. Chuck's AGI for the year is $50,000. (a) What is the amount of the loss for each item? (b) What is Chuck's personal casualty itemized deduction?
Marvin broke his hip in a slip and fall accident at Costco. He received an accident settlement from Costco’s insurance company for $25,000. He was unable to work during the two-month recovery period but was able to use the $5,000 in sick pay he had accumulated from his employer. Marvin also received $10,000 from an accident policy he had purchased for himself. How much of this income is taxable to Marvin.

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