Neco 2019 Commerce Question 50
Practice objective / multiple choice question 50 from the 2019 Neco Commerce examination.
An insurance company expects an average annual loss of ₦120,000 per motor policy. Administrative expenses amount to 15 % of the premium. The company wants to load a profit of 20 % on the sum of expected loss and expenses, and a tax of 5 % is applied on the premium after loading. Determine the gross premium to be charged per policy (rounded to the nearest naira).
Answer Options
About This Question
This is Neco 2019 Commerce Question 50. It is one of the objective questions from the 2019 Neco Commerce examination.
Difficulty level: Medium .
Master the Exam!
You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.