Percentage

I have a challenging mathematics question right here. Kindly comment. Here it is:

Problem statement: You have an amount of values in your house, you must sign up an insurance plan that could insure you 20% greater than the amount of values in your house for your loss protection.


1st question: You have RM 50k values in your house, please determine the insured values of insurance plan that you must sign up.

2nd question: You signed up a RM 100k  insured values plan, please determine the amount of values in your house.

Solution A

1st question:

100% --> RM 50k values in your house
RM 50k + 20% = RM 50k + (RM50k X 20%) = RM 60k

2nd question:

100% --> RM 100k insured values plan
RM 100k - 20% = RM 100k - (RM 100k X 20%) = RM 80k

Solution B 

Mo = an amount of values in your house
Mi =  the insured values plan that you must sign up
Mi = 120% of Mo = 1.2 Mo

1st question:

Mo = RM 50k; Mi = 1.2 X RM 50k; Mi = RM 60k

2nd question:

Mi = RM 100k; RM 100k = 1.2 X Mo; Mo = RM 83.33k


I think Solution A should be the correct method in solving the problem. How do you think?