Question
Jerome uses the formula, P = DB, to find his approximate six-month premium when his driver risk factor, D, is 1.02 and the basic six-month premium is $500.
What will his monthly premium be?
(1 point)
Responses
$85.00
$85.00
$270.60
$270.60
$300.50
$300.50
$332.00
What will his monthly premium be?
(1 point)
Responses
$85.00
$85.00
$270.60
$270.60
$300.50
$300.50
$332.00
Answers
GPT-4o mini
To find Jerome's approximate six-month premium using the formula \( P = DB \):
1. Given:
- Driver risk factor, \( D = 1.02 \)
- Basic six-month premium, \( B = 500 \)
2. Calculate \( P \):
\[
P = DB = 1.02 \times 500 = 510
\]
3. Now, to find the monthly premium, divide the six-month premium by 6:
\[
\text{Monthly Premium} = \frac{P}{6} = \frac{510}{6} = 85
\]
Thus, Jerome's monthly premium will be **$85.00**.
1. Given:
- Driver risk factor, \( D = 1.02 \)
- Basic six-month premium, \( B = 500 \)
2. Calculate \( P \):
\[
P = DB = 1.02 \times 500 = 510
\]
3. Now, to find the monthly premium, divide the six-month premium by 6:
\[
\text{Monthly Premium} = \frac{P}{6} = \frac{510}{6} = 85
\]
Thus, Jerome's monthly premium will be **$85.00**.