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.
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For a fully discrete whole life insurance of 100,000 on (45):
(i) whole life
(ii)i= 0.06
Calculate the annual net premium.
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- A fully discrete life insurance policy is issued to (30). The death benefit is 1000 plus the benefit reserve at the end of the year of death. The net level premium is 150, and the reserve at the end of the second policy year is 117.875. Given that q30 = q31 = .1, determine the effective interest rate i.7. A net premium of $41 payable for life will provide (x) with either $5,000 n-year term insurance followed by $1,000 whole life insurance after age x + n, or $3,000 n-year term insurance followed by $2,000 whole life insurance after age x + n. What is 1000 · Px ? A) 17.37 B) 17.47 C) 17.57 D) 17.67 E) 17.77Calculate the annual premium for the following policy. (Use Table 20.1.) Amount of coverage (face value of policy) Age and sex of insured Type of insurance policy Annual premium $200,000 42 (M) 20-payment life
- Which of the following is the correct calculation of insurance premium? a. (Premium/1,000) x table rate b. (Face value/1,000) x table rate c. (1000/Face value) x table rate d. (Table rate/1,000) x Face valueWhat is the PV of an ordinary annuity with 5 payments of $3,900 if the appropriate interest rate is 4.9%? a. $20,455.50 b. $19,858.66 c. $16,931.74 d. $17,761.39 e. $13,861.39What is the PV of an annuity due with 5 payments of $5,700 at an interest rate of 6.1%? a. $23,945.30 b. $27,940.90 c. $25,405.96 d. $29,645.30 e. $19,705.96
- A 6-year term insurance policy has an annual premium of $500, and at the end of 6 years, all payments and interest are refunded. What lump-sum deposit is necessary to equal this amount if you assume an interest rate of 2.5% compounded annually? (a) State the type. A.future valueB. ordinary annuity C.sinking fundD. present value of an annuityE.amortization (b) Answer the question. (Round your answer to the nearest cent.)Kk105. Find the annual premium. Face Value: $30,000 Age of Insured: 50 Sex of Insured: M Type of Policy: Universal lifeComplete the table below by computing for the unknown component of a general annuity. PMT r t Payment interval Compounding period FV PV 1.P900 6% 6.25 yrs. Monthly quarterly ? 2.P1800 11% 8 yrs. Quarterly monthly ? 3.P500 5% 8 yrs. Monthly annually ?
- What is the PV of an ordinary annuity with 10 payments of $7,800 if the appropriate interest rate is 5.5%? Select the correct answer. a. $58,823.08 Ob. $58,815.68 $58,793.48 d. $58,808.28 e. $58,800.88Find the future value of the ordinary annuity. Interest is compounded annually, unless otherwise indicated. R= $1,000, i- 0.04, n = 13 O $41.626.84 O $15,025.81 O 54002.58What is the PV of an ordinary annuity with 5 payments of $4,700 if the appropriate interest rate is 4.5%? Group of answer choices $16,806 $17,690 $18,621 $19,601 $20,633