Question

Rudy has been paying an annual homeowners insurance premium of $1,106.30 ($0.37 per $100 of value) since

he first purchased his house. For the past six months, Rudy has completed some major improvements to his

house to improve its overall value. If Rudy successfully adds $50,000 to the value of his house, what will his new

annual homeowners insurance premium be?

a. $185.00

b. $315.00

c. $1,291.30

d. $1.351.14

Please select the best answer from the choices provided

Answer 1

c

Explanation:

edge 2021

Answer 2

c. $1,291.30

Explanation:

Calculation what will his new annual homeowners insurance premium be

Insurance premium= [$1,106.30+ ($0.37/ $100*$50,000)]

Insurance premium=$1,106.30+$185

Insurance premium=$1,291.30

Therefore what his new annual homeowners insurance premium will be is $1,291.30