A business owner is seeking property insurance for their commercial property valued at $⁢950,000 The insurance company offers a rate of 0.4% What is the annual premium?

Convert the rate of 0.4% to a decimal: 0.004. Multiply the property value by the rate: $950,000 × 0.004 = $3,800, so the annual premium is 3 dollars comma 800 (choice C).

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