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- Jen purchased a condo in Naples, Florida, for $699,000. She put 20% down and financed the rest at 5% for 35 years. What are Jen’s total cost of interest? Multiple Choice $457,425.60 $626,863.20 $626,128.20 $978,600Patrick's monthly take-home pay is $5,000. His net worth is $125,000. He estimated that he would receive monthly Social Security benefits worth $1,000 and monthly company disability benefits $2,000 if he becomes disabled. The additional disability benefits that he needs to arrange for equals about O a. $7,000 O b. $2,000 O c. $6,000 O d. $5.000 Qe $3.000Jamie purchased a condo in Naples, Florida, for $699,000. She put 20% down and financed the rest at 5% for 35 years. What are Jamie's total finance charges? A. $457,425.60 B. $606,823.20 C. $626,863.20 D. $600,000.00
- Linda is an employee of JRH Corporation. Which of the following would be included in Lindas gross income? a. Premiums paid by JRH Corporation for a group term life insurance policy for 50,000 of coverage for Linda. b. 1,000 of tuition paid by JRH Corporation to State University for Lindas masters degree program. c. A 2,000 trip given to Linda by JRH Corporation for meeting sales goals. d. 1,200 paid by JRH Corporation for an annual parking pass for Linda.Kelly receives a $40,000 scholarship to Ivy University. She uses $30,000 on tuition and books, $5,000 for a used car, and $5,000 for rent while at school. Kelly will recognize _____ gross income. $0 $5,000 $10,000 $30,000 $40,000Carry and her husband Troy are planning to buy their first home this summer. They each of $50,000 in RRSPs saved up ($100,000 total). What would you recommend they use to help purchase their home? What is the maximum amount that each of them can contribute using this option only? Format: positive numbers as 100,000.00, negative numbers as (100,000.00)
- Return on T-bills. Lauren purchased a $50,000 T-bill for $48,225. A few months later, Lauren sold the T-bill for $49,099. What was Lauren's return on the T-bill? Lauren's return on the T-bill is ______%: "Home insurance and options" You own a house that costs $200,000 to build. You buy a $15,000 insurance policy to compensate you for damage to the house. The deductible is $25,000. (If your house suffers $4,000 damage from a storm, you pay for all repairs yourself. If the house suffers $45,000, in damage, you pay $25,000 and the insurance company pays the remaining $20,000.) (1) Graph the positions of the unhedged home, the home insurance and the hedged home position on the profit and loss diagram. In the diagram, specify the relevant values on the diagram. (2) To which trader type the insurance company belong? Explain your answer. a. Call buyer b. Call seller c. Put buyer d. Put sellerAzra owns a $300,000 Whole Life policy she purchased in 1990. She has paid $24,000 in premiums and the NCPI is $4000. The policy's CSV is $16,000. What is the policy's ACB? $ 8,000 $ 24,000 $12,000 $ 20,000
- 1. Alex owns a home with a replacement value of $320,000. The homeowners policy has an 80% coinsurance clause and a face value of $240,000. Damage caused by a fire costs $125,280 to repair. What compensation will the insurance company pay? 2. Using Table 19-5 and 19-6, find the annual premium for an automobile insurance policy for Sandra who has a good credit rating. She lives in Territory 1 and buys 50/100/50 coverage for her liability protection. Sandra's vehicle is Model Class 2 and is five years old. In addition to the liability coverage, she purchased comprehensive and collision insurance with a $250 deductible on comprehensive and a $500 deductible on collision. TABLE 19-5 Annual Automobile Liability Insurance Premiums Territory 1 Territory 2 Liability Limits BAD GOOD ОСС GOOD ОСС BAD 50/100/50 385 600 846 354 552 778 100/300/100 425 682 961 391 627 884 250/500/250 460 750 1036 423 690 953 500/1000/500 530 843 1208 488 776 1111 GOOD = good credit; OCC = occasional payments past…In 2020, Ally paid $ 35,250 in personal interest during 2020 as follows: • $ 16,000 – Loan of $ 400,000 secured by personal residence to purchase the house.• $ 18,000 – Loan of $ 600,000 secured by principal residence. $ 400,000 was used to substantially improve the house and $ 200,000 was used for personal purposes.• $ 1,250 – Personal automobile loan interest. Gabby uses her auto 40% for business travel required by her employer. All 3 loans were taken out in 2019. How much interest may Ally claim as an itemized deduction in 2020? a. $ 28,500b. $ 28,000c. $ 27,000d. $ 26,500e. $ 16,000Emilio is purchasing homeowner's insurance. His house was recently appraised at $266,000. Emilio plans on insuring the contents at 50% of the home's value. Use Table 19-4 in your text to determine the annual homeowner's insurance premium if Emilio's home has structural classification A and area rating 3. Annual homeowner's insurance premium: $
