SOLUTION: An insurance company charges a basic premium of $ 20 and an additional 30 cents for every $ 1,000 of cover. If a man pays $ 95 premium, how much cover does he have?

Question 436208: An insurance company charges a basic premium of $ 20 and an additional 30 cents for every $ 1,000 of cover. If a man pays $ 95 premium, how much cover does he have?
Answer by rwm(914) (Show Source): You can put this solution on YOUR website!
p=20+.30*(c/1000)
working backwards
c/1000 is the amount of coverage (c) divided by 1000 which would be how many 1000 of coverage the guy has.
he pays 30 cents for each 1000 dollar of coverage. so we multiply the last amount in coverage by .30
no matter how much coverage he has he has to pay an extra 20
We are told his premium is 95 so we set it all equal to 95
95=20+.30*(c/1000)
solve for c
c=250,000
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