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Insurance Claim Adjuster/Examiner

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AVG. SALARY

$68,760

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EDUCATION

High school (GED) +

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JOB OUTLOOK

Decreasing

Real-Life Activities

Real-Life Math -- Solution

Start by adding up the costs of the parts and materials:

Materials = $420 bumper + $350 grill + $315 paint + $195 other
Materials = $1,280

Calculate the 6 percent tax:

$1,280 x 0.06 = $76.80

Add the tax to the materials and parts total:

$1,280 + $76.80 = $1,356.80

Now let's add up the labor hours.

The bumper will take 2 hours, the grill will take another hour, the hood needs 2 hours' work and the painting requires 3 hours:

Labor hours = 2 + 1 + 2 + 3
Labor hours = 8

Calculate the labor costs:

Labor costs = 8 x $42
Labor costs = $336

Add the cost of the parts and the cost of the labor:

Total = $1,356.80 + $336
Total = $1,692.80

Don't forget that Mrs. Matthews has a deductible of $250. Deduct that from the $1,692.80.

Insurance pays = $1,692.80 - $250
Insurance pays = $1,442.80

It will cost the insurance company $1,442.80 to repair Clive.


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OCAP believes that financial literacy and understanding the financial aid process are critical aspects of college planning and student success. OCAP staff who work with students, parents, educators and community partners in the areas of personal finance education, state and federal financial aid, and student loan management do not provide financial, investment, legal, and/or tax advice. This website and all information provided is for general educational purposes only, and is not intended to be construed as financial, investment, legal, and/or tax advice.