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A homeowner insured a house for $ 1 5 0 , 0 0 0 for one year at a premium rate of $ 7 5

A homeowner insured a house for $150,000 for one year at a premium rate of $750.00. The homeowner canceled the policy during the year. The insurance company has a penalty of 15% for short-rate refunds. Compute the amount of the penalty.

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