Talliy dwuull Need for renter's insurance. lan and Elena Ballard, both graduate students, moved into an apartment near the university. Elena wants to buy renter's insurance, but lan thinks they don't need it because their furniture isn't worth much. Elena points out that, among other things, they have some expensive computer and stereo equipment. To help the Ballards resolve their dilemma, suggest a plan for deciding how much rance to buy, and give them some ideas for finding a policy. Collecting on a homeowner's insurance claim. Sasha Underwood's home in Los Angeles was recently gutted in a fire. Her living and dining rooms were completely destroyed, and the damaged personal property had a replacement value of $25,000. The average age of the damaged personal property was 5 years, and its useful life was estimated to be 15 years. What is the maximum amount the insurance