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Paul owns a $100,000 house. He wants to purchase a homeowner insurance policy to cover the value of his house. He visits an insurance company
Paul owns a $100,000 house. He wants to purchase a homeowner insurance policy to cover the value of his house. He visits an insurance company and he was able to obtain the following information: * The company defines an exposure unit as $100. * The rate for a homeowner insurance line is $50. * The minimum number of exposure units that can be purchased for one insurance policy is 10, and the maximum number is 5,000.
How many exposure units does Pauls house equal to? Show your work.
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