Question

Stacey had her $1500 computer and $2000 worth of jewelry stolen. if electronics depreciate by 25% and her deductible is $100, what would she get for cash value? $3025 $2000 $2100 $3500

Answer 1

Calculating the depreciated value of the computer and adding the value of the jewelry, after accounting for a $100 deductible, Stacey would receive $3025 in cash value for her stolen items.

Step-by-step explanation:

The question asks to calculate the cash value Stacey would receive for her stolen computer and jewelry, considering the depreciation of electronics and her insurance deductible. To find the cash value of the computer, we take into account that electronics depreciate by 25%. Therefore, the computer's value after depreciation would be 75% of its original price, which is 75% of $1500, equating to $1125. However, since there is a $100 deductible, the amount Stacey would receive for the computer becomes $1125 - $100 = $1025.

Jewelry, in this case, does not depreciate, so its value remains $2000. No deductible is applied to the jewelry as it has already been deducted from the electronic item.

In total, Stacey would receive the cash value of the computer ($1025) plus the full value of the jewelry ($2000), giving her a total of $3025.