Personal Finance: Insurance

Jarrod is purchasing a life insurance policy with a face value of $200,000. The annual rate is $7.08 per $1000 of face value.  The monthly payment rate is 9.5%. What is the annual premium?

• $1900
• $7080
• $1416
• 2000

How much will Jarrod pay monthly?

• $74.10
• $134.52
• $118
• $256.41

Stacy purchased a home valued at $225,000 for insurance purposes.  Her homeowners policy will cost $0.98 per $100 of value. How much is the annual premium?

• $2205
• $220.50
• $98.00
• $980.00

How much is Stacey's monthly insurance premium payment?

• $220.50
• $1176.00
• $187.50
• $183.75

Ashley is a sales rep for a pharmaceutical company. She is paid $3300.00 per month, and 5% commission on her sales. What function, E(s), can be used to represent her gross earnings given her total sales, s.

• E(s) = .05x3300 + s
• E(s) = 3300 + .05s
• E(s) = 3300 + 5
• E(s) = 3300 x .05

Ashley sells $50,000 in one month. What will be her gross earnings?

• $5800.00
• $2665.00
• $53300.00
• $6000.00

Ashley's employer deducts 26% of her gross income for taxes, and $135 for health insurance. What function can be used to represent her net earnings, N(s), in terms of her monthly sales, s.

• N(s) = 3300 + .05s - .26s
• N(s) = .26(3300 + .05s) -135
• N(s) = 3300 + .05s
• N(s) = .74(3300 + .05s) - 135

How much did Ashley net for the month she sold $50,000?

• $5138.90
• $4192.10
• $4292.00
• $4157.00

Anthony works in the kitchen of a restaurant as a intern chef where he earns $15.50 per hour. His employer deducts 17% for taxes and $75 per month for health insurance. Anthony's monthly budget is $1600.00. How many hours must he work each month to make his budget?

• 132 hours
• 103 hours
• 108 hours
• 98 hours

What function, E(h), can be used to model Anthony's earnings in terms of the number of hours, h, that he works?

• E(h) = .17(15.5h -75)
• E(h) = .83(15.5h - 75)
• E(h) = .17(15.5h) - 75
• E(h) = .83(15.5h) -75