2
QuizMultiple Choice

Homeowners Insurance

Question 2 • 26-27 Ignite Financial Literacy Personal Finance - EL3403

Sarah pays $48.00 each month to keep her house insured. If her house is valued at $223,050, about how much is Sarah paying per $100 in homeowners insurance annually?

Answer
A
$0.13
B
$0.26
C
$1.55
D
$3.09

Explanation

Sarah pays $48 × 12 = $576 per year. Her home’s value contains $223,050 ÷ $100 = 2,230.5 units of $100, so the annual cost per $100 is $576 ÷ 2,230.5 ≈ $0.26. The correct choice is $0.26.

AI-written and checked against the verified answer.

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