Compare Accept Markup Options Reviewing Track Change Block Protect Authors Document Reject Previous Next Change Change 1) Using these facts answer next consecutive questions The Authentic Bristro is a full service restaurant and bar. On October 1, 20XX the restaurant suffered a business Interruption loss from flood caused by a broken water pipe. The loss period has been determined to be 30 days (1 month). The restaurant is completely shut down during the loss period. What best explains the definition of lost profit as a result of a business business interruptions? a Net Income (loss) plus continuing expenses, sale less non-continuing expenses b Fixed costs plus contribution margin, net income plus non-continuing expenses c The regression-method, average costs d Business interruption value multiplied by mitigating revenue 2) If net income is 25% of gross receipts and fixed esxpenses are 10%, variable expenses are 15% and semi-variable are 5%, what is the business interruption value? a 40% b 35% C 55% d 35% 3) The loss of income would be best calculated using the following formula: a Lost profits multiplied by business interruption value b Lost gross receipts less mitigating sales (if any) multiplied by business Interruption value c Lost gross receipts multiplied by business Interruption value d Lost profits less mitigating profits multiplied by business interruption value