JP is insured under BOP with a $150,000 replacement cost limit on business personal property with $1,000 deductible, and all policy conditions and requirements are satisfied. Explain the extent to which of the following losses will be covered by JP's BOP. 1) Damage to merchandise on display and in storage with a replacement of $125,000 Damage to his office equipment with a replacement cost of $2,500 Business income and extra expenses, including the sublet of space in an adjacent store, totaling $22,000 11) 111) b. JP is the owner of a retail store, selling general merchandise, in a rented unit at a shopping mall. During a severe summer storm, lightning struck the mall and fire ensued and spread to JP's unit, causing considerable damage to JP's business personal property. The shop closed for two months for repairs. During the repair time, JP leased a space in an adjoining store to continue its operation, which resulted in a net reduction of his business income loss. In addition to the initial loss, vandals sto