Question: 8. Central Warehousing, Ltd. has a small office building on 1st Ave. During the current policy year, there were three loss events at the 1st

 8. Central Warehousing, Ltd. has a small office building on 1st

8. Central Warehousing, Ltd. has a small office building on 1st Ave. During the current policy year, there were three loss events at the 1st Ave. building: In February, a $2,500 computer was stolen; In April, a fire started in a waste basket in one of the conference rooms, spreading throughout the room before the sprinkler system put it out, resulting in $5,000 in damage; and in November, Jordan Roberts, a Central customer, fell on the ice that the building's custodian neglected to salt after an early snow storm, incurring injuries which she agreed to settle for $12,000. Central's CEO has asked you to look over the insurance policy to determine how much Central will receive in indemnity for these losses. How much will that be if the policy has a $2,000 straight deductible? How much will it be if the policy has a $10,000 annual aggregate deductible

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!