You are considering paying $700 per year for a health plan that pays 70% of the first $1,000 of medical costs and 100% of any additional costs over that. if your total medical expenses for the year are $900, is it worth it for you to get the plan?

Palmer frosted flakes company offers its customers a pottery cereal bowl if they send in 3 boxtops from palmer frosted flakes boxes and $1. the company estimates that 60% of the boxtops will be redeemed. in 2012, the company sold 675,000 boxes of frosted flakes and customers redeemed 330,000 boxtops receiving 110,000 bowls. if the bowls cost palmer company $3 each, how much liability for outstanding premiums should be recorded at the end of 2012?