This question deals with a typical scenario involving medical expenses and whether medical insurance is worth it.

The deductibles for the various services are as follows:

Emergency room visit: $400 deductible (the patient pays the first $400)

surgery: $2000 deductible (the patient pays the first $2000)

Office visits have a co-payment of $35.

Healthcare expenses (before insurance) = $740 (emergency room) + $100 (office visit) + $8200 (surgery) + $120 (Office visit) + $1120 (Emergency room) = $10,280

Thus, the expenses without the insurance policy are $10,280.

This means that you can reject the solution choices c and d straightaway since they mention a different value of expense without the policy.

Let's see what happens when the patient has the stated insurance.

For each of the office visits, the patient will pay $35 each, for a total of $70 (2 x $35/visit).

For the surgery, the patient will only pay $2000, instead of the full amount.

For the emergency visit, the patient will pay first $400 for each visit. Since there are two emergy visits, the total cost to the patient is $800 (2 x $400).

In addition, the patient must pay the health insurance premium of $450 per month for a total of $5400 (12 x $450) per year.

Thus, the total expenses with the medical insurance policy are:

$70 + $2000 + $800 + $5400 = **$8,270**.

Thus, **option (a)** is correct.

Hope it helps.

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