Business, 20.02.2020 00:45 byers024

Muggs Co. includes one coupon in each bag of dog food it sells. In return for eight coupons, customers receive a leash. The leashes cost Muggs $3 each. Muggs estimates that 45 percent of the coupons will be redeemed. Data for 2014 and 2015 are as follows: 2014 2015 Bags of dog food sold 500,000 600,000Leashes purchased 18,000 22,000Coupons redeemed 120,000 150,000The premium liability at December 31, 2015 is?a. $22,500.b. $39,375.c. $45,000.d. $84,375.

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Muggs Co. includes one coupon in each bag of dog food it sells. In return for eight coupons, custome...

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