Earlier, Sheena concluded that under certain circumstances it would cost her more to purchase insurance than...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Earlier, Sheena concluded that under certain circumstances it would cost her more to purchase insurance than it would to risk doctor visits without insurance. She even used probability and expected value to support this conclusion. Sheena's friend, Laura, brought up the possibility that she could have unforeseen medical expenses that are more expensive than a routine doctor visit, such as a severe injury from the soccer games that Sheena likes to play on the weekends. The cost of surgery and therapy for a broken leg adds up to $16,000. Given that new perspective, Sheena is comparing a couple of health insurance plans with expensive injury treatments in mind. The plans are detailed in this table. Plan 1 Plan 2 Annual Premium $2,376 $1,560 Out-of-Pocket Max $3,500 $4,500 Find the total annual cost for the two plans Sheena is comparing. Type the correct answer in each box. The total annual cost under plan 1 is $ The total annual cost under plan 2 is $ Earlier, Sheena concluded that under certain circumstances it would cost her more to purchase insurance than it would to risk doctor visits without insurance. She even used probability and expected value to support this conclusion. Sheena's friend, Laura, brought up the possibility that she could have unforeseen medical expenses that are more expensive than a routine doctor visit, such as a severe injury from the soccer games that Sheena likes to play on the weekends. The cost of surgery and therapy for a broken leg adds up to $16,000. Given that new perspective, Sheena is comparing a couple of health insurance plans with expensive injury treatments in mind. The plans are detailed in this table. Plan 1 Plan 2 Annual Premium $2,376 $1,560 Out-of-Pocket Max $3,500 $4,500 Find the total annual cost for the two plans Sheena is comparing. Type the correct answer in each box. The total annual cost under plan 1 is $ The total annual cost under plan 2 is $
Expert Answer:
Answer rating: 100% (QA)
To calculate the total annual cost for each plan you need to cons... View the full answer
Related Book For
Smith and Roberson Business Law
ISBN: 978-0538473637
15th Edition
Authors: Richard A. Mann, Barry S. Roberts
Posted Date:
Students also viewed these accounting questions
-
The Crazy Eddie fraud may appear smaller and gentler than the massive billion-dollar frauds exposed in recent times, such as Bernie Madoffs Ponzi scheme, frauds in the subprime mortgage market, the...
-
Planning is one of the most important management functions in any business. A front office managers first step in planning should involve determine the departments goals. Planning also includes...
-
1 30 2 3 4 If A= = -1 2 1,B= 1 23 0 02 -1 1 2 5 9 13 (a) -1 2 4 -12 4 1 24 (C) -1 2 4 -2 24 then AB= 5 (b) -1 9 13 24 -2 2 4 (d) None of these
-
The figure shows the graphs of four functions. One is the position function of a car, one is the velocity of the car, one is its acceleration, and one is its jerk. Identify each curve, and explain...
-
Management of a soft drink bottling company has the business objective of developing a method for allocating delivery costs to customers. Although one cost clearly relates to travel time within a...
-
Tandrin Aviation Holdings Ltd. agreed to sell a jet aircraft to Aero Toy Store, LLC, for \($31.75\) million. ATS paid a \($3\) million deposit to a third party with the balance due upon delivery....
-
Multiple Choice Questions 1. An insurance company offers doctors malpractice insurance. Assume that malpractice claims against careful doctors cost $5,000 on average over the term of the policy and...
-
Megan and Nancy each want save $250 000 for their retirement 40 years. a) Nancy begins her regular deposits immediately. How much must she deposit end 12% per year compounded annually achieve her...
-
After the dot-com business he tried to start folded, David "Marty" Dawkins decided to pursue his boyhood dream of owning a bike factory. After several false starts, he finally got the small company...
-
Carla Vista Company sells its product for $26 per unit. During 2022, it produced 24500 units and sold 14000 units (there was no beginning inventory). Costs per unit are: direct materials $5, direct...
-
The following table gives total output or total product as a function of labor units used. a. Define diminishing returns. b. Does the table indicate a situation of diminishing returns? Explain your...
-
The following diagram illustrates the demand curve facing a monopoly in an industry with no economies or diseconomies of scale and no fixed costs. In the short and long run, MC = ATC. Copy the...
-
Which of the following is not considered constructive receipt of income? a. X was informed its check for services rendered was available on December 20, 2019, but it waited until January 21, 2020, to...
-
What hard evidence can you cite that indicates your companys management team is doing a better or worse job of achieving operating excellence and executing strategy than are the management teams at...
-
Courtney Vile and Kurt Barnett form Radical Inc. Courtney contributes a building that has a fair market value of $150,000 in exchange for 50 shares of Radical worth $50,000. The building has an...
-
Write an essay to explain the study by Diana Eades. Include in your essay the following keywords: Aboriginal English Standard Australian English silence gratuitous concurrence cultural presupposition...
-
Difference between truncate & delete
-
Frank Berryessa stole funds from his employer, the Eccles Hotel Company. His father, W. S. Berryessa, learned of his sons trouble and, thinking the amount involved was about $2,000, gave the hotel a...
-
The articles of partnership of the firm of Wilson and Company provide the following: William Smith to contribute $50,000; to receive interest thereon at 13 percent per annum and to devote such time...
-
Bain ordered from Marcum a carload of lumber, which he intended to use in the construction of small boats for the U.S. Navy pursuant to contract. The order specified that the lumber was to be free...
-
Financial Reporting Problem Marks and Spencer plc (M&S) The financial statements of M&S (GBR) are presented in Appendix A. The companys complete annual report, including the notes to the financial...
-
Cooke Company has a fiscal year ending on September 30. Selected data from the September 30 worksheet are presented below. Instructions (a) Prepare a complete worksheet. (b) Prepare a classified...
-
Let \(X, Y, X_{n}, Y_{n}: \Omega ightarrow \mathbb{R}, n \geqslant 1\), be random variables. a) If, for all n > 1, Xn Yn and if (Xn, Yn) (X, Y), then XIL Y. b) Let X Y such that X, Y ~ B1/2 = (80...
Study smarter with the SolutionInn App