Question

Rachel just purchased a homeowners insurance policy for her new home that costs $0.43 per $100. Her home is worth $387,500. What is Rachel’s annual homeowners insurance premium?

a.
$1,666.25
b.
$2,208.75
c.
$8,802.33
d.
$9,011.63

Answer 1

0.43/100 = x/387,500

x=1,666.25

Rachel's annual homeowners insurance premium is $1,666.25

Answer 2

a. $1,666.25 is the answer.

Explanation:

Let Rachel’s annual homeowners insurance premium be = x

Given is :

Insurance policy costs $0.43 per $100.

Price of the home = $387500

The relation can be shown as:

`(0.43)/(100)=(x)/(387500)`

`100x=0.43*387500`

`100x=166625`

`x=1666.25` dollars

Therefore, Rachel’s annual homeowners insurance premium is $1666.25