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FE CIVIL PRACTICE EXAM The optio whether to purchase insurance. The construction company paid $100.000 for the loader. The A construction company bought a new rubber-tire loader and is performing anisk analysis annual cost for the insurance premium is $2.000, and the deductible is $1.000. The risk 16. to purchase or not to purchase insurance are as follows: 0.88 probability of no accident 0.11 probability of a small accident at a cost of $800 0.01 probability of a total loss for the loader The best option and projected cost savings are: O A purchase insurance and save $990 OB purchase insurance and save $1,088 do not purchase insurance and save $1,010 OD do not purchase insurance and save $2,098 OOUU 17. A tractor cost $7,500. After 10 years it has a salvage value of $5.000. Maintenance costs are $5 per year. If the interest rate is 10%, the equivalent uniform annual cost is most nearly O A S500 . $750 OC $1,400 OD $2,000 5004 FE CIVIL PRACTICE EXAM The optio whether to purchase insurance. The construction company paid $100.000 for the loader. The A construction company bought a new rubber-tire loader and is performing anisk analysis annual cost for the insurance premium is $2.000, and the deductible is $1.000. The risk 16. to purchase or not to purchase insurance are as follows: 0.88 probability of no accident 0.11 probability of a small accident at a cost of $800 0.01 probability of a total loss for the loader The best option and projected cost savings are: O A purchase insurance and save $990 OB purchase insurance and save $1,088 do not purchase insurance and save $1,010 OD do not purchase insurance and save $2,098 OOUU 17. A tractor cost $7,500. After 10 years it has a salvage value of $5.000. Maintenance costs are $5 per year. If the interest rate is 10%, the equivalent uniform annual cost is most nearly O A S500 . $750 OC $1,400 OD $2,000 5004