Question

A framer insured her stock of goods for $27,000 at a rate of $1.85 per $100. The cost of the insurance was:

Answer 1

Value of stock of goods is = $27000
Cost of insurance for $100 is = $1.85
So we can find cost of insurance for $1 by dividing 1.85 from 100.
So cost on insurance for $1 = $\frac{1.85}{100}$

Now we can find cost of stock of good by multiplying total stock of good from cost of insurance of $1.
So cost of insurance is = $27000 * \frac{1.85}{100} = 270 * 1.85 = 499.5$

So required answer is = $499.5