Chapter 15: Multirisk Management Contracts III: Business 1. The building where Alpha Mortgage Company's office was located received minor smoke damage, forcing the company to relocate its operations for one month. Assuming standard BIC coverage and the following hypothetical conditions, what amount of benefits could the company expect to receive? Preloss Financial Information Average monthly revenues $220,000 Average monthly payroll $100,000 Monthly heat, electricity, water $25,000 Monthly rent for leased office $25,000 Monthly interest expense $10,000 Monthly marketing expense $5,000 Monthly other expenses $5,000 Postloss Financial Information for One Month Revenues $170,000 Payroll $100,000 Utilities $30,000 Rent on leased office $0 Rent for temporary space $50,000 Interest expense $0 Marketing expense $6,000 Other expenses $12,000 Answer: According to Preloss Financial Information; Net Income = According to Postloss Financial Information; Net Loss = that would have The total loss equals _, the sum of income not received been expected without a loss, plus the actual lost income The amount of benefit that the company would expect to revive is incurred