Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The Flamingo Cab Company of Cougar Creek is interested in purchasing $250 deductible collision insurance and full-coverage comprehensive insurance to cover its fleet of 10

image text in transcribed
image text in transcribed
image text in transcribed
The Flamingo Cab Company of Cougar Creek is interested in purchasing $250 deductible collision insurance and full-coverage comprehensive insurance to cover its fleet of 10 taxicabs. As a requirement for the job, all drivers already carry their own liability coverage in the amount of 100/300/100. Cougar Creek is rated as territory 3 . Five of the cabs are 4-year-old Checker Towncars, model class Y. Two of them are 2 -year-old Chrysler station wagons, model class R. The remaining three are new aulck sedins, model class C. Becalste (a) As the insurance agent for Flamingo Cabs, use Fable 197 to caloulate the total annual premium (in s) for the fieet. (b) When the owner saw your rate equote, he exclaimed, Too expensivel How can t mave some meney on this insurance? At that point, you suggested changing the caveruge to $500 deductible collision and $100 deductible compreheneive. Using tobie 197, how much can you save (in s) Flamingo by using the sew coverape? (Round your ansiner to Territories 1 and 2 Territories 3 and 4 Territories 1 and 2 Territories 3 and 4

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Introduction To Managerial Accounting Hc 2002 Text Only

Authors: Folk

1st Edition

0071123350, 978-0071123358

More Books

Students also viewed these Accounting questions