What amount would it cost an insurance company to replace a family’s personal property that originally cost $18,000? The replacement costs for the items have increased 15 percent

For each of the following situations, what amount would the insurance company pay?
a. Wind damage of $785; the insured has $500 deductible.

b. Theft of a stereo system worth $1,300; the insured has a $250 deductible.

c. Vandalism that does $375 of damage to a home; the insured has a $500 deductible.

Your help would be greatly appreciated.

First question and how I arrived at the answer, 8M x 1.15 equals 20,700 - but this doesn't mean they might pay that much, did or do you have replacement cost coverage? IF not, those items will be depreciated in most instances, by the way, what property appreciated? I will answer the other examples in a second by a separate response.

Your question a - Wind damage of $875. With a $500 deductible, I am assuming the damage was to fixed real estate, the pure answer is $275.00

b. Theft of a stereo worth $1300 with a $250 ded, the word "worth" might have different values, maybe you paid that much for it 10 yrs ago, if so, and you had replacement cost coverage, then the answer would be what it cost for similar property, knowing how electronics has progressed in the last 10 yrs, it would be hard to find (and you may not want) a similar item, I know I wouldn't, I would want an up to date modern stereo, if you didn't have replacement cost coverage, the item would be depreciated and the ded subtracted, consequently you may only be entitled to a very small amount.