4. A car was bought for $12,000. It decreases in value 2% each month (the depreciation is NOT compounded, however) How much is it worth after your first year of owning it?

$250 deductible means jane must pay the first $250 of her bill. so the insurance company paid = (80% of bill) - deductible = (0.8 x $2550) - $250 = $2040 - $250 = $1790 and jane's cost is = (bill) - (insurance payment) = $2550 - $1790 = $760