$1.$ Prior to major property damage, ABC Company had revenue of $$1,000,000$ and expenses of $$575,000,$ yielding a net profit of $$425,000.$ After the property damage event, ABC Company had revenue of $$0$ and expenses of $$177,500.$ What is ABC Company's business income loss?$\backslash$

$2.$With the BIC and the Extra Expense Insuring Agreement, extra expenses to repair or replace property are treated differently. These expenses are covered only to the extent that they actually reduce the business income loss. A restaurant owner pays a contractor to work around the clock to repair the damaged property so it can reopen sooner. The around the clock work costs $$25,000.$ The $$25,000$ is only covered if it reduced the business income loss by $$25,000.$

Group of answer choices

True

False