$3.$ Calculating actual cash value

Actual Cash Value versus Replacement Cost Coverage

The following table gives a partial list of Albert$$s significant property $($that is$,$ although only the first three items are listed within each category, the totals at the bottom of the table include the prices of unlisted property items$).$

Item

Purchase Price

ACV

Replacement Cost

Furniture

Couch set $$3,500$ $$875$ $$3,850$

Outdoor lawn furniture $3,1251,5633,750$

Dining room table and chairs $1,0005001,200$

$...$

Appliances

TV $750375900$

DVD player $12575150$

Sound system $1,0004001,200$

$...$

Furnishings

Antique rugs $11,2503,37513,500$

Sculptures $10,00012,00012,000$

Throw blankets and pillows $375225450$

$...$

TOTAL: $$46,688$ $$30,347$ $$56,026$

Albert has a $$51,000$ HO$-1$ form insurance policy. No additional endorsements or floaters have been added to the policy. Therefore, the actual cash value $($ACV$)$ of his property covered under this policy and the replacement cost of his property covered.

One of his more valuable items is a shotgun he uses for duck hunting. He purchased the shotgun $4$ years ago for $$1,770,$ and the total life expectancy is $10$ years. The shotgun he uses for duck hunting would cost $$1,900$ if it was purchased today.

The actual cash value $($ACV$)$ of the shotgun is $.$