Question: Q3. The human life value is one method for estimating the amount of life insurance to own. Keeping all other factors unchanged, explain the effect,

Q3. The human life value is one method for estimating the

Q3. The human life value is one method for estimating the amount of life insurance to own. Keeping all other factors unchanged, explain the effect, if any, of each of the following: 1. The discount rate used to calculate the human life value is increased. 2. The amount of average annual income going to the family is increased. 3. The period over which income is paid to the family is reduced

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Q:

Q3. The human life value is one method for estimating the amount of life insurance to own. Keeping all other factors unchanged, explain the effect, if any, of each of the following: 1. The discount...

Q:

2. a. The human life value is one method for estimating the amount of life insurance to own. Keeping all other factors unchanged, explain the effect, if any, of each of the following: 1. The discount...

Q:

a. The human life value is one method for estimating the amount of life insurance to own. Keeping all other factors unchanged explain the effect, if any, of each of the following: 1. The discount...

Q:

2. a. The human life value is one method for estimating the amount of life insurance to own. Keeping all other factors unchanged, explain the effect, if any, of each of the following: 1. The discount...

Q:

2. a. The human life value is one method for estimating the amount of life insurance to own. Keeping all other factors unchanged, explain the effect, if any, of each of the following: 1. The discount...

Q:

d. The human life value is one method for estimating the amount of life insurance to own. Keeping all other factors unchanged, explain the effect on the amount of life insurance to own, if any, of...

Q:

Questions are included in attachment, they are multiple choice: The text suggests that insurance consumers should: A) inform themselves about the company, policy, etc. to protect their own...

Q:

Q1/ What's the problem with being both the insured and owner on a life insurance policy? A. Causes a reduction in death benefit B. Higher cost relative to separate ownership C. Causes death benefits...

Q:

please help me solve application questions 1-3 all parts. Need to know how to do for future test. b. Explain the basic features of second-to-die ife 10. a. What is a prefe insurance and describe a...

Q:

Question 1 b. APPLICATION QUESTIONS a ure death. e purchase eath on the es. b 1. Richard, age 45, is married with two children in high school. He estimates that his average annual earnings over the...

Q:

Should Sarah and Jane file jointly or separately? Sarah received a bonus of $50,000 in addition to her $250,000 salary. Jane received $36,000 in social security disability benefits. They have no...

Q:

You are evaluating an investment opportunity that costs $1,000 today, for which you expect to receive $400 in one year and $750 in two years. The appropriate discount rate is 8%. Should you make the...

Q:

The realization concept states that revenue is recorded when: a ) It has been earned and realized or realizable b ) All the associated costs have been paid in cash c ) It has been received in cash

Q:

Skills necessary for success in marketing include Multiple select question. analytical thinking advertising industry experience infallibility ability to work with others

Q:

4.72 Consider the joint probability distribution: X 1 2 Y 0 0.25 0.25 1 0.25 0.25 a. Compute the marginal probability distributions for X and Y. b. Compute the covariance and correlation for X and Y....

Q:

4.71 A call center in Perth, Australia receives an average of 1.3 calls per minute. By looking at the date, a Poisson discrete distribution is assumed for this variable. Calculate each of the...

Q:

George Tiao has 5 shares of stock A and 10 shares of stock B, whose price variations are modeled by the probability distribution in Table 4.8. Find the mean and variance of the portfolio. Table 4.8...