Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Use the following information of Ligo Fleet Company to answer the question below: Number of vehicles 3 0 0 Depreciation 1 0 % on a
Use the following information of Ligo Fleet Company to answer the question below:
Number of vehicles
Depreciation on a straight line basis
Deductible excess per claim R
Claims information
Ligo Fleet Company submitted three vehicle claims amounting to R on January The three vehicles were stolen in the three provinces of the country.
Ligo Fleet submitted five vehicle claims amounting to R on March The five vehicles were stolen in the five provinces of the country.
Policy changes
The parties agreed to change the current deductible method to a disappearing deductible method in the January renewal negotiations.
Management should apply the recapture value of of the depreciation rate.
Question
Calculate the new deductible amount after the payment of the claims submitted on the March
a
R
b
R
c
R
d
R
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started