2.5. practice\nlars olsen authorized a deduction of $163.75 from his monthly pay for group health insurance…

2.5. practice\nlars olsen authorized a deduction of $163.75 from his monthly pay for group health insurance. his employer pays 45% of the cost. what is the annual premium amount for his group health insurance?\nannual\nlars amt = 163.75×12 =

2.5. practice\nlars olsen authorized a deduction of $163.75 from his monthly pay for group health insurance. his employer pays 45% of the cost. what is the annual premium amount for his group health insurance?\nannual\nlars amt = 163.75×12 =

Answer

Explanation:

Step1: Find annual amount paid by Lars

Lars pays $163.75$ monthly. Multiply by 12 to get annual amount. $163.75\times12 = 1965$

Step2: Determine percentage paid by Lars

Employer pays 45%, so Lars pays $100 - 45=55%$ of the cost.

Step3: Calculate annual premium

Let the annual premium be $x$. We know that $0.55x = 1965$. Solve for $x$. $x=\frac{1965}{0.55}=\frac{1965\times100}{55}=\frac{196500}{55}=3572.73$ (rounded to two - decimal places)

Answer:

$3572.73$