Question: For a Type B UL policy you are given: (i) AV4 = 5, 000. (ii) The additional death benefit is $1,000,000. (iii) The mortality probability

For a Type B UL policy you are given: (i) AV4 = 5, 000. (ii) The additional death benefit is $1,000,000. (iii) The mortality probability in year 5 is 0.01. (iv) Expense charges are $50 per year plus 5% of premiums. (v) iq = 0.045. (vi) The policy does not have a no lapse guarantee. Calculate the minimum premium to be paid at the beginning of year 5 so that the policy does not lapse before the next premium is paid at the beginning of year 6

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