For a fully discrete whole life insurance of 100,000 on (45): (i) whole life annuity on 45, a45 = 14.85 (ii)i= 0.06 Calculate the annual net premium.

Q: What is the PV of an ordinary annuity with 10 payments of $2,700 if the appropriate interest rate is…

A: Number of Payment = n = 10Payment = p = $2700Interest Rate = r = 5.5%

Q: An annuity pays $14 per year for 45 years. What is the future value (FV) of this annuity at the end…

A: > Given:> Rate of interest per annum = 9%> Amount of each deposit = 14> Number of years…

Q: Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) Amount of…

A: A key component of investment analysis, capital budgeting, and financial decision-making, present…

Q: Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) Amount of…

A: Formula PVA = m*[1-(1+r)-n*t]/r Where PVA - Present value of annuity m - Annual deposit amount i.e.…

Q: What is the PV of an ordinary annuity with 10 payments of $7,800 if the appropriate interest rate is…

A: Present value of ordinary annuity is computed as follows:-PV= A*wherePV= Present value of ordinary…

Q: Question 1 Saved An annuity with periodic payments made at the end of each payment period is called…

A: Annuity refers to a contract that is made between the insurer and the insurance company in which a…

Q: 8. Ordinary annuity payment. Fill in the missing annuity values in the following table for an…

A: Ordinary annuity is a series of payments made at the end of each period at equal intervals of time.

Q: If life insurance is pledged as collateral for a loan, how much can be borrowed? face value of the…

A: The correct answer is b) Cash surrender value of the policy.When life insurance is pledged as…

Q: Find the annual premium

A: INTRODUCTION: When sales comprise both single premium and regular premium business, annual premium…

Q: If the value of the annual payment is $34,059.92, calculate the present value of a life annuity…

A: Present value of an annuity is the cash value of future annuity payments of all the persons, It is…

Q: What is the annual insurance expense considering the following costs: Semiannual car insurance…

A: Insurance is agreement between insurer and insured where insurer agrees to compensate insured for…

Q: which project is more profitable to undertake? $60 million npv for 10 years or $70 million for 30…

A: Solution:- There are many criteria to accept or reject a project. One of the criteria is Net Present…

Q: What is the present value of a ​$   4,500 perpetuity discounted back to the present at   13…

A: Time value of money (TVM) refers to the method used to measure the amount of money at different…

Q: Compute the present value of a $100 annual annuity for the following combination of rates and time…

A: present value of annuity (PVA) formula: PVA=A×1-11+rnr where, A=annuity r=interest rate n=number of…

Q: Assuming annual interest rates on comparable investments are 3,5%. What annual income could be…

A: Interest Rate= 3.5% Time Period of Annuity = 25 years Savings invested in annuity = 140,000

Q: You are given: - Premiums are calculated using the equivalence principle. - Mortality follows the…

A: The annual benefit premium for a 30-years 1000 on (35) Pa35 = 1000 A135 + P(IA)135 Pa35 = P(IA)135 =…

Q: What is the present value of a 3 year, $3,000 per year annuity at 3 percent? Select one: a. $8,590…

A: The present value of an annuity is the current value of a series of equal payments to be made or…

Q: & Ordinary annuity payment Fill in the missing annuity values in the following table for an ordinary…

A: Annuity is the regular payment made from an investment for particular period at a specific interest…

Q: Which of the following earns a fixed rate of return? Whole life insurance. Term-life insurance.…

A: There are two main types of life insurance:- Term life insurance and whole life insurance. Term life…

Q: esent value (in $) of an annuity due Annuity Payment Payment Fr

A: An annuity is used in case of a future annuity – suppose an equal sum of money is invested in the…

Q: Number of Payments or Years 4 22 32 11 Annual Interest Rate 4 7% 11% 9% 8% Future Value $0.00…

A: Present Value of Annuity = Annuity  * (1 - (1 / (1 + Interest Rate)^time)) / Interest RateFuture…

Q: कर. Presert Valto Arnuty Futuro Va Years 9% $186.44 15 14% $1.357 37 $725.73 30 5% $565 75 260 1%

A: You have to find out future value FACTOR and find out future value.

Q: Annuity A has a present value of $100,000 and makes 20 payments.  Annuity B has a present value of…

A: Annuity refers to the contract between two parties for the purpose of insurance in which regular…

Q: Rank the following from highest present value to lowest present value. Assume all else equal. v An…

A: Present value of annuity is the current value of the future payments that are calculated using the…

Q: A term life insurance offers both insurance coverage and a savings feature. The premiums associated…

A: Term life insurance is type of insurance that guarantees the death benefit, if the person dies…

Q: Give typing answer with explanation and conclusion    With this type of cash value life insurance…

A: Cash value life insurance policies offer a unique blend of life insurance coverage and a savings or…

Q: You are given the following information about a person aged exactly x: 9x = 0.03, 9x+1 = 0.04, 9x+2…

A: The expected present value is used to find out the value of an investment based on the concept of…

Q: Find the value of A so the two cash flows below are equivalent for an interest rate of 10%…

A: Interest rate (r) = 10% per annum = 2.5% per quarter We need to equate present values of both the…

Q: A fully discrete life insurance policy is issued to (30). The death benefit is 1000 plus the benefit…

A: Given: The policy issued to the policy holder is denoted as x. The value of x=30

Q: Calculate the Present Value of an ordinary Annuity (PVA) that includes 12 payments of $200 and an…

A: Present Value of an ordinary Annuity (PVA): The present value of money is worth more than it will be…

Q: Find the PV of a 26-year annuity-immediate with payments of 1, 2, 3, ..., 26 at an annual effective…

A: Present value is the current worth of the future payments at a given rate of return.

Q: An insurer needs to make the following annuity payments into a private pension fund: £771 paid at…

A: Here,Periodic payment for first 5 years is £771Periodic payment for next 8 years is £1,097Periodic…

Q: Semiannually Quarterly Monthly Premiu 52% 26% 9%

A: The life insurance is quite necessary for life but depending on the age and income the amount of…

Q: What is the future value of a $500 ordinary annuity at an interest rate of 6% for 5 years? Select…

A: We need to use future value of ordinary annuity(payment due at end) formula for solving this…

Q: 5) Consider a whole life annuity-due of 46,000 per year issued to a life age 65. Calculate the…

A: SOLUTIONGiven Informationlet's break down the informationWhole Life Annuity-Due: This is an annuity…

Q: refers to receiving a set monthly payment for the rest of your life. O Certain Period Annuity O…

A: A formal agreement established between an individual and an insurance company enables the individual…

Q: Individual Assessment 1.b: Simple Annuity Due Directions: Calculate the future value of #1 & 2 and…

A: The Future Value of Annuity Due is the total future value of each cash flow which is made at the…

Q: Using Table 19-1 and Table 19-2, calculate the annual, semiannual, quarterly, and monthly premiums…

A: Insurance are necessary for life because so that there should not be the problem for life who are…

Types of Insurance Contract

Insurance is a contract wherein an individual or entity gets financial protection from the insurance company for any damages or losses incurred. The individual or entity is called the insured, whereas the insurance company is called the insurer. The insured and the insurer enter a legal contract for a fixed term called the insurance term, and the contract is called an insurance policy.