Carol Byrd gets a student rate of $30.00 a month for health insurance. There is a $250 deductible. She recently received treatment for a covered condition. The bill was $2,300.00. Carol's insurance company provided payment of 80% of the bill less the deductible.
What was the company's payment? $
What was Carol's total cost (ignoring the monthly premium)? $
To find the company's payment, we first need to calculate the amount that is covered by the insurance after applying the deductible.
Since Carol has a $250 deductible, she needs to pay this amount out of pocket before insurance coverage kicks in. So, the amount that's covered by insurance is the total bill ($2,300) minus the deductible ($250), which is $2,050.
After that, Carol's insurance company covers 80% of the bill, so they will pay 80% of $2,050.
To calculate this, we can multiply $2,050 by 0.8:
Company's payment = $2,050 x 0.8
Now, let's calculate Carol's total cost. This will be the amount she paid out of pocket, which includes the deductible, plus any amount not covered by insurance.
To calculate Carol's payment, we need to subtract the company's payment from the total bill:
Carol's payment = Total bill - Company's payment
Total bill = $2,300
Company's payment = $2,050 x 0.8
Now we can substitute these values into the equation:
Carol's payment = $2,300 - ($2,050 x 0.8)
Simplifying further, we get:
Carol's payment = $2,300 - $1,640
Finally:
Carol's total cost = Carol's payment + Carol's monthly premium
Since the question asks us to ignore the monthly premium, we can simply consider Carol's payment as her total cost.
To find Carol's total cost, we can substitute the values we found earlier:
Carol's total cost = $2,300 - $1,640
Now we can calculate the values:
Company's payment = $2,050 x 0.8 = $1,640
Carol's payment = $2,300 - $1,640 = $660
2300 - 250 = 2050
80% of 2050
.8* 2050 = 1640
2050-1640 = 410
Carol paid $410