The property of Lance's Garage is worth $90,000. Lance has a fire insurance policy of $40,000 that contains an 80% coinsurance clause. On a fire that causes $60,000 of damage, the insurance company pays:
A)$27,777.78
B)$27,777.87
C)$33,333.33
D)$33,334. 00
E)None of these

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The Answer of The property of Lance's Garage is worth $90,000. Lance has a fire insurance policy of $40,000 that contains an 80% coinsurance clause. On a fire that causes $60,000 of damage, the insurance company pays:
A)$27,777.78
B)$27,777.87
C)$33,333.33
D)$33,334. 00
E)None of these

The Property of Lance's Garage Is Worth $90,000